Category: Australia Tech News

Brief Overview

• Microsoft is inundated with refund requests for its Copilot AI add-on to M365.
• Australia’s ACCC has charged Microsoft with deceiving consumers regarding M365 pricing.
• Customers are facing difficulties in securing refunds and downgrading their subscriptions.
• The ACCC’s legal actions persist despite Microsoft’s proposal for refunds.

Microsoft’s Refund Challenges

Microsoft has been flooded with refund requests for its Copilot AI add-on to the Microsoft 365 (M365) suite. Following the announcement of a refund initiative, the company experienced unexpectedly long customer support wait times. Microsoft claims it has been working to resolve this influx, which has now decreased.

The ACCC’s Claims

The Australian Competition and Consumer Commission (ACCC) has charged Microsoft with misleading 2.7 million Australian users concerning the pricing available for its M365 plans. The core issue centers on whether Microsoft hid a less expensive “classic” subscription option without Copilot, directing customers toward pricier plans that included the AI feature.

Customer Reports

Despite Microsoft’s apology and refund offer, several customers are reporting challenges when attempting to downgrade to the classic version without AI, asserting that a clear option to do so is absent in their account settings. Moreover, some have been advised to contact Microsoft during US business hours for assistance with their problems.

Ongoing Legal Actions

The ACCC has indicated that its legal pursuit against Microsoft continues independently of the company’s refund strategy. The regulator is seeking penalties, injunctions, and court declarations, striving for effective remedy for consumers.

Conclusion

Microsoft is currently tackling major hurdles regarding refund requests for its M365 Copilot AI add-on. With legal pressures from the ACCC and dissatisfaction among customers, the tech giant is managing a complex situation that highlights the importance of transparency in subscription services. The resolution of these developments may have significant implications for Microsoft’s business activities in Australia.

Q&A

Q: What is the primary concern regarding Microsoft’s Copilot refund process?

A: Customers are facing challenges in obtaining refunds and downgrading to a “classic” M365 subscription without the Copilot AI add-on.

Q: Why is the ACCC involved in this case?

A: The ACCC has accused Microsoft of misleading Australians about the pricing options for M365 plans, leading to legal intervention.

Q: Has Microsoft cleared the backlog of refund requests?

A: Microsoft reports that the influx of refund requests has decreased following the initial surge.

Q: What actions can affected customers take?

A: Customers encountering issues should reach out to Microsoft support, although some may need to contact them during US business hours for resolution.

Q: Will the ACCC cease its legal actions after Microsoft’s refund initiative?

A: No, the ACCC continues to pursue legal action, seeking penalties and effective consumer redress despite the refund program.

Q: What potential effects could this situation have on Microsoft in Australia?

A: Ongoing legal issues and customer dissatisfaction could affect Microsoft’s reputation and operations in the Australian market.

Quick Overview

• NAB changes its employee-contractor ratio to 70/30, prioritizing employees.
• 90% of NAB’s applications have transitioned to the cloud.
• AI adoption has increased to 15,000 team members for improving task efficiency.
• Over 4,500 engineers at NAB are now employing generative AI for development tasks.
• Pete Steel is set to join NAB as Group Executive for Digital, Data, and AI soon.
• NAB’s statutory net profit for FY25 amounts to $6.76 billion.

Reducing Contractor Reliance

The National Australia Bank (NAB) has successfully transformed its workforce structure, emphasizing in-house employees over contractors. At the close of FY25, 71% of the technology and enterprise operations team consists of NAB employees, a notable change from 2018 when contractors accounted for 70% of the workforce. This adjustment underscores the bank’s dedication to lessening external reliance and bolstering internal strengths.

Cloud Transition Achievements

NAB has achieved significant milestones in migrating its applications to the cloud. Currently, 90% of its applications have been transitioned, an increase from 85% just half a year ago. This initiative is part of NAB’s overall plan to enhance operational efficiency and scalability through cloud solutions.

Enhancing AI Integration

AI is increasingly embedded in NAB’s operations. The bank now has more than 4,500 engineers utilizing generative AI for software development, up from 2,500 six months ago. Additionally, 15,000 employees are leveraging AI to optimize routine tasks, and 1,400 frontline staff are using AI-driven tools to improve customer service.

Leadership and Future Directions

The forthcoming appointment of Pete Steel as Group Executive for Digital, Data, and AI is anticipated to further drive NAB’s AI initiatives. Steel’s expertise will aid the bank’s strategic objectives regarding customer experience, employee efficiency, software development, and operational productivity.

Financial Performance

In spite of technological advancements, NAB reported a statutory net profit of $6.76 billion for FY25, a slight decrease from $6.96 billion in FY24. The bank remains committed to aligning technology investments with its long-term strategic vision.

Conclusion

NAB’s technological evolution illustrates a strategic pivot towards insourcing and significant AI adoption. The bank’s initiatives in cloud migration, AI integration, and diminishing contractor reliance reflect its commitment to modernization and operational excellence.

Q: What is NAB’s current employee-contractor ratio?

A: NAB currently operates with a 70/30 ratio favoring employees, reversing the former 30/70 ratio.

Q: What percentage of NAB’s application portfolio has been migrated to the cloud?

A: 90% of NAB’s applications have made the transition to the cloud.

Q: How many NAB employees are utilizing AI for routine tasks?

A: 15,000 NAB employees are using AI to enhance efficiency for routine tasks.

Q: Who is the newly appointed Group Executive for Digital, Data, and AI at NAB?

A: Pete Steel will be joining NAB as the Group Executive for Digital, Data, and AI.

Q: What is NAB’s net profit for FY25?

A: NAB recorded a statutory net profit of $6.76 billion for FY25.

Australia’s Growing Teen Social Media Restrictions: Reddit and Kick Included

Quick Overview

• Australia broadens its teen social media restrictions to include Reddit and Kick.
• Penalties reaching $49.5 million for non-compliance by social media companies.
• Law commences on December 10.
• eSafety Commissioner calls for ongoing evaluations by technology companies.
• List of age-limited platforms is fluid due to advancing technology.

Grasping the Ban

The eSafety Commissioner of Australia has enlarged the ambit of its trailblazing teen social media ban to now include Reddit and the live streaming service Kick. This action signifies a proactive approach to assure that platforms primarily facilitating online socialization are subjected to age limitations.

Severe Penalties for Non-Adherence

Starting December 10, social media firms that do not enforce adequate measures to prevent those under 16 from accessing their platforms may incur fines up to $49.5 million. This substantial fine emphasizes Australia’s dedication to protecting younger internet users.

Fluid Nature of the Restricted List

The eSafety Commissioner has indicated that the inventory of age-restricted platforms will be regularly refreshed. As technology progresses and new platforms arise, the criteria for what constitutes an age-restricted platform may alter, requiring continuous assessments by technology companies.

Platforms Currently Not Affected

Certain widely used platforms such as Discord, GitHub, LEGO Play, Roblox, Steam and Steam Chat, Google Classroom, Messenger, WhatsApp, and YouTube Kids are not presently designated as age-restricted. Nevertheless, this classification may shift as their main functions change.

Conclusion

Australia’s historic decision to broaden its teen social media ban to cover Reddit and Kick marks a crucial advancement in online safety. With significant penalties for non-compliance and a flexible stance on the list of restricted platforms, the initiative intends to adjust to the rapid progression of digital technology.

Q: Why did Australia extend its social media ban to encompass Reddit and Kick?

A: Australia has broadened the ban to ensure platforms mainly enabling social interaction are restricted to protect younger users.

Q: What is the penalty for social media companies that fail to comply with the ban?

A: Companies may face fines up to $49.5 million for not taking adequate measures to prevent under-16 users.

Q: When will the new law come into force?

A: The law will become effective on December 10.

Q: Are any platforms currently exempt from this restriction?

A: Yes, platforms like Discord, GitHub, LEGO Play, Roblox, Steam, Google Classroom, Messenger, WhatsApp, and YouTube Kids are currently free from this ban.

Q: Can the list of restricted platforms change over time?

A: Yes, the list is adaptable and will be modified as new platforms appear or existing ones alter their primary use.

Q: What is the function of the eSafety Commissioner in this regulation?

A: The eSafety Commissioner manages the enforcement of the ban and prompts tech firms to continually reassess their platforms.

Brief Overview

• Actors sponsored by states like China, Iran, Russia, and North Korea have taken advantage of Google’s Gemini AI.
• The AI Threat Tracker report has been published by Google’s Threat Intelligence Group (GTIG).
• These actors have circumvented the security protocols of Gemini via social engineering.
• New malware types such as PROMPTFLUX and PROMPTSTEAL signal the growth of threats.
• Google addresses these risks by disabling accounts once suspicious activity is detected.

Introduction

As of 2025, state-sponsored threat actors from China, Iran, Russia, and North Korea have effectively leveraged Google’s Gemini AI to improve their cyber-attack methodologies. In spite of Google’s persistent efforts to identify and curb misuse, these actors have found ways to bypass the AI’s security protocols.

AI Threat Tracker Report

Google’s Threat Intelligence Group (GTIG) published a document named AI Threat Tracker: Advances in Threat Actor Usage of AI Tools. This report emphasizes how adversaries have transitioned from utilizing AI for productivity to more malicious applications. It continues findings from January 2025, offering insights on how these actors exploit AI resources such as Gemini.

Circumventing Security Protocols

Even with Google’s protective measures, threat actors have adeptly bypassed Gemini’s safeguards through social engineering techniques. One significant scenario involved a Chinese actor posing as a capture-the-flag competitor to gain exploitation guidance from Gemini. Other groups have employed similar strategies to create bespoke malware and execute phishing schemes.

Malware Innovation and Application

Emerging malware like PROMPTFLUX and PROMPTSTEAL illustrates the potential maturation of cyber threats. PROMPTFLUX alters its code in real-time to avoid detection, while PROMPTSTEAL dynamically crafts commands for data theft. These advancements showcase continuous experimentation in AI-enhanced malware development.

Conclusion

The exploitation of Google’s Gemini AI by state-sponsored groups highlights the changing landscape of cyber threats. While Google is persistently improving its security defenses, the adaptability of these actors presents ongoing challenges. The rise of AI-driven malware adds complexity to the cybersecurity field, emphasizing the need for sustained vigilance and innovation in defense strategies.

Q&A

Q: What is the AI Threat Tracker report?

A: It is a report from Google’s Threat Intelligence Group that outlines the misuse of AI tools like Gemini by threat actors.

Q: In what ways do threat actors circumvent Gemini’s security?

A: They utilize social engineering methods, such as pretending to be legitimate users, to bypass security measures.

Q: What is PROMPTFLUX?

A: PROMPTFLUX is a form of experimental malware that dynamically adjusts its source code to avoid detection.

Q: How does Google respond to these threats?

A: Google limits the time frame within which actors can misuse the AI by shutting down accounts upon detection.

Q: What significance does AI-driven malware hold?

A: AI-driven malware represents a novel challenge in cybersecurity, necessitating new and creative defensive strategies.