Microsoft 365 subscribers are being forced to pay more for Copilot inclusion

Microsoft 365 currently offers two consumer subscription options: Microsoft 365 Family and Microsoft 365 Personal. Microsoft 365 Family extends subscription benefits to up to six people, while Microsoft 365 Personal is limited to a single user. Previously, Microsoft introduced premium AI features for consumers through the Copilot Pro plan and for enterprise and business users through the Microsoft 365 Copilot plan.

Now, Microsoft is testing a new Microsoft 365 consumer plan that includes AI features at a higher subscription cost. This plan is currently being tested in Australia, New Zealand, Malaysia, Singapore, Taiwan, and Thailand. In Australia, the annual cost of the new Microsoft 365 Family with AI subscription will be $AU179, compared to $AU139 for the plan without AI features.

The issue is that Microsoft is migrating all existing Microsoft 365 plan users to this new, more expensive plan. Although the updated price will take effect during their next renewal, this change may annoy those who don't need or want AI features. Microsoft still offers an AI-free Microsoft 365 plan at the original price, but users must cancel their current subscription and purchase the cheaper option separately.

This updated plan provides Microsoft 365 Personal and Family subscribers with 60 AI credits per month, usable across various applications, including Word, Excel, PowerPoint, Outlook, Forms, OneNote, Designer, Notepad, Photos, and Paint. Each specific request for a Copilot or equivalent AI service action, such as generating text, a table, or an image, will consume one credit. However, the AI benefits are exclusive to the subscription owner and cannot be shared with other Microsoft 365 Family members. Other family members can purchase a Copilot Pro subscription individually to access AI features.

Microsoft has stated that unused AI credits do not carry over to the next month. These credits reset on the first of each month, regardless of usage. If 60 AI credits are insufficient, consumers can purchase a dedicated Copilot Pro plan for more extensive access to AI features in Word, Excel, PowerPoint, Outlook, OneNote, Forms, Designer, Notepad, Photos, and Paint.

While currently being tested in select markets, this plan may expand to other regions, including Europe and the US, in the future. Microsoft's statement to ZDNet regarding this new Microsoft 365 consumer plan is: "The company has rolled out changes in six markets to listen, learn, and improve. We don't have anything more to share today."

This move by Microsoft to bundle AI features into a more expensive plan has raised concerns about potential price increases for all users. While the company claims it is listening to feedback, it remains to be seen how this new plan will be received by consumers globally.

via: ZDNet

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