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TL;DR: Microsoft is adding Copilot-powered AI features to its Microsoft 365 Personal and Family plans after rolling them out to businesses and Copilot Pro subscribers. However, the AI features come at a price, as Microsoft hiked subscription fees for both plans by $3 per month or $30 per year. Microsoft 365 Personal subscriptions will go from $7 monthly and $70 annually to $10 and $100, respectively. Family subscriptions will also rise from $10 a month and $100 a year to $13 and $130, respectively. The new plans go into effect immediately for first-time subscribers and upon renewal for existing 365 members.Microsoft will still offer 'Classic' Personal and Family plans without Copilot, but only "for a limited time." These plans will have no AI features, maintaining their current pricing. Unfortunately, only existing users can opt for the Copilot versions. New subscribers must sign up for the more expensive plans, like it or not. However, the good old $2 per month Basic plan, which offers no AI features, will remain an option for the foreseeable future.Interestingly, customers with AI-infused plans will have the option to disable Copilot when they want. Users can disable the feature in the Settings of apps like Word, Excel, and PowerPoint under "academic scenarios."The new Copilot-powered plans come with one significant caveat aside from the price hike. Subscribers won't have unlimited access to the AI features. Instead, they will get 60 AI credits per month for AI services across all the Office apps. Users can also spend credits to generate images or text in Windows apps like Designer, Paint, and Notepad. Customers wanting unlimited access to all the latest AI features must sign up for a Copilot Pro subscription for $20 extra monthly.This change is the first time Microsoft has increased the prices of Microsoft 365 Personal and Family plans in the US since it rolled out the service in 2013. However, the company did raise pricing for the business and consumer plans in other regions. // Related Stories
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