Britain's competition watchdog, the Competition and Markets Authority, has opened an investigation into Microsoft over claims it misled personal and family customers when marketing Microsoft 365 subscription plans, resulting in some paying more than necessary. The investigation, announced on Wednesday, will focus on how Microsoft incorporated its Copilot AI tool into Microsoft 365 subscriptions, which were free for individual and family users until an upgrade requiring a price increase was offered. The regulator will examine whether customers were given the information needed to understand their options and the cost difference between plans before deciding to renew. The CMA stated that customers must be provided with appropriate information despite the speed at which new functionalities are added to old products. Microsoft said it would review the concerns and continue to cooperate constructively. This follows a separate investigation launched in May into Microsoft's dominance in the software industry. The CMA noted that similar investigations are also being conducted by competition regulators in Australia and Italy.