Microsoft has announced a price increase for Microsoft 365, citing the addition of the AI assistant Copilot. This marks the first price hike in 12 years.
An Unprecedented Rise in 12 Years
For the first time since 2013, Microsoft is increasing the prices of its Microsoft 365 Personal and Family subscriptions. This price adjustment, which will take effect at the time of subscription renewal, is directly related to the addition of Copilot, an artificial intelligence tool integrated into key applications of the office suite, such as Word, Excel, and PowerPoint. The new rates will be $8.49 per month (or $84.99 per year) for the Personal subscription, up from $6.90 and $69 previously. The Family offer, covering up to six users, will increase to $13 per month or $129 per year, up from the previous $9.90 and $99.
Artificial Intelligence at the Heart of New Features
The introduction of the Copilot assistant is the reason Microsoft cites for this price increase. Previously available through a separate offer at $20 per month, it is now included in the standard subscriptions. Thanks to this AI, users can automate complex tasks, such as generating PowerPoint presentations, analyzing Excel data, or summarizing texts in Word. However, these features are not unlimited and are governed by a system of monthly credits usable across all Office apps and some Windows tools like Designer and Paint. Those desiring unlimited or more advanced access can subscribe to the Copilot Pro offer, still available separately.
An Alternative for Existing Subscribers
For current users who do not wish to use AI tools or pay more, Microsoft is temporarily offering “classic” subscriptions. These plans retain the old rates but exclude Copilot and future innovations. Subscribers will need to select this option at their next renewal. Note that these plans will only be available for a limited time, meaning they may eventually be phased out.
If Microsoft emphasizes the added value of its services and the importance of innovation, the price increase is clearly not universally popular. Some users find Copilot superfluous and regret having to pay for non-essential features. Others praise the integration of artificial intelligence, considering it justifies the revision. For those looking to avoid these changes, alternatives like LibreOffice or iWork remain available. But for the loyal users of the Microsoft suite, these new rates seem inevitable. This decision certainly confirms Microsoft’s ambition to position itself as a major player in AI within the productivity sector.
Also, remember to keep an eye out for promotions on Microsoft 365 that we regularly report in our columns.