Mackay Chapman November 2025 ACCC Update
In this month’s ACCC update:
- Microsoft faces court over misleading Microsoft 365 subscription communications
- ACCC proposes continued industry collaboration to keep cash accessible
- Concerns over Yamaha’s planned takeover of Telwater
- Luke Woodward appointed ACCC Commissioner
- Telstra fined $18 million for failing to tell Belong customers about slower upload speeds
Continue reading for more detail.
Microsoft faces court over misleading Microsoft 365 subscription communications
The ACCC has launched Federal Court action against Microsoft Australia and Microsoft Corporation, alleging they misled about 2.7 million Australians when rolling out Copilot across Microsoft 365 Personal and Family plans.
The regulator claims Microsoft told auto-renewing subscribers they had only two choices: accept Copilot at a higher price or cancel their subscription.
A third, cheaper option — the Classic plan, identical to the subscriber’s existing plan but without Copilot — existed but was not disclosed. The Classic plan was only revealed deep in the cancellation flow.
The ACCC alleges Microsoft deliberately withheld this option to increase uptake of the more expensive Copilot-integrated plans, with annual prices rising 45% for Personal and 29% for Family plans.
The case centres on two subscriber emails and a blog post that the ACCC says falsely implied there were no alternatives.
The ACCC is seeking penalties, injunctions and consumer redress. It says many subscribers may have paid higher prices unnecessarily and encourages affected customers to review their options, noting Microsoft controls available plans and pricing.
ACCC proposes continued industry collaboration to keep cash accessible
The ACCC has issued a draft determination proposing to allow the Australian Banking Association and other industry participants to keep working together on measures to maintain access to cash across Australia.
The authorisation would also permit planning to ensure cash-in-transit services continue if Armaguard experiences disruption.
The ACCC says cooperation is needed to protect access to physical currency, particularly for people in regional and remote areas who rely heavily on cash.
Proposed conditions include requiring the ABA to develop initiatives aimed explicitly at safeguarding access in those locations.
Interim authorisation has been in place since 2024, with submissions on the draft determination closing 14 November 2025.
Concerns over Yamaha’s planned takeover of Telwater
The ACCC has flagged preliminary concerns about Yamaha’s proposed acquisition of aluminium boat maker Telwater, warning the deal could substantially reduce competition in the wholesale supply of outboard motors.
Telwater is Australia’s largest aluminium trailer boat supplier, while Yamaha is a major outboard motor brand.
The ACCC is concerned Yamaha could tie access to Telwater’s highly sought-after boats to becoming a Yamaha motor dealer, making it harder for rivals like Mercury or Suzuki to compete.
It also warns that the merged entity could limit dealer access for competing boat suppliers.
Submissions on the Statement of Issues closed on 23 October 2025.
Luke Woodward appointed ACCC Commissioner
The ACCC has announced the appointment of Luke Woodward as Commissioner for a five-year term starting 10 October 2025. Woodward, one of Australia’s leading competition and consumer law experts, brings over 30 years’ experience across mergers, enforcement and regulatory matters.
He previously held senior roles at the ACCC, including general counsel and senior assistant commissioner, and most recently served as national head of competition law at King & Wood Mallesons.
Chair Gina Cass-Gottlieb said his litigation and regulatory expertise will strengthen the ACCC’s enforcement program and support the new merger regime.
Telstra fined $18 million for failing to tell Belong customers about slower upload speeds
The Federal Court has ordered Telstra to pay an $18 million penalty after it shifted almost 9,000 Belong NBN customers to a lower upload speed plan in 2020 without notifying them.
Customers were moved from plans with a 40 Mbps upload cap to 20 Mbps, while download speeds stayed the same.
The ACCC said the undisclosed change misled customers and denied them the chance to decide whether the downgraded service met their needs. Telstra is remediating affected customers with payments of $15 per month spent on the lower-speed plan, totalling more than $2.3 million.
Misleading claims in essential services, including telecoms, remain a key ACCC enforcement priority.
The contents of this article and any linked articles do not constitute legal advice, are not intended to be a substitute for legal advice, and should not be relied upon as such. They are designed and intended as general information in summary form, current at publication, for general informational purposes only. You should seek legal or other professional advice concerning any particular legal matters you or your organisation may have.
