ChatGPT Users Sue Microsoft and OpenAI Over AI Pricing
Microsoft and OpenAI face a class action lawsuit alleging a secret agreement manipulated compute supply to inflate ChatGPT prices.
Eleven ChatGPT Plus subscribers filed a class action lawsuit against Microsoft Corporation and OpenAI in the US District Court for the Northern District of California. The plaintiffs allege the companies violated U.S. antitrust laws through a secretive agreement that allowed Microsoft to control the computing resources necessary to run ChatGPT.
According to the complaint, Microsoft used its $13 billion investment and control over the Azure platform to create artificial scarcity, inflating generative service prices since November 2022. The lawsuit claims this exclusivity allowed Microsoft to extract supracompetitive profits while promoting its Copilot products. During a price war in February 2025, the plaintiffs allege ChatGPT prices reached 100 to 200 times those of competitors per token.
The complaint notes that OpenAI prices remained significantly higher than competitors such as DeepSeek until OpenAI began sourcing computing power from Google in mid-2025. The plaintiffs are seeking restitution, treble damages, and a permanent injunction against such exclusivity terms.
Microsoft declined to address the specific details of the lawsuit but stated that its partnership with OpenAI promotes competition, innovation, and responsible AI development.