Microsoft is bundling its AI-powered Office features into Microsoft 365 Personal and Family subscriptions, but it’s also raising prices as a result. Previously, Microsoft 365 subscribers had to pay an extra $20 per month to get Copilot inside Office apps like Word, Excel, and PowerPoint as part of a Copilot Pro subscription, but Microsoft is now adding these AI features to Microsoft 365 apps for an extra $3 per month. Existing subscribers can opt out of the AI features and not suffer the price increase, though.
Microsoft has been testing adding AI-powered Office apps, the most important feature of Copilot Pro, into the Microsoft 365 subscriptions in recent months. What was previously only available in Australia, New Zealand, and a number of countries across Asia is now expanding to most markets worldwide.
While it feels like Microsoft is admitting that people aren’t willing to pay an extra $20 a month for AI-powered Office features, Microsoft argues it has always wanted to bring AI features to more users.
Tom Warren
People aren’t loving our new fancy gizmo that we pumped billions in? Wait, I have the perfect solution: let’s force it on them! A perfect illustration of the ‘AI is overhyped’ argument.