Microsoft 365 prices hiked to add AI you didn’t ask for

Microsoft has announced it is integrating its Copilot AI features within the Microsoft 365 suite of Office productivity apps, but won’t be doing so for free.

In a blog post today, Microsoft revealed both the Personal and Family subscriptions, which includes familiar apps like Word, Excel, PowerPoint and Outlook, will cost $3 a month or $30 a year more as a result of the integration.

Microsoft is full of beans about the announcement and is pointing out plenty of the benefits that subscribers will get for that extra expenditure.

“Need help with meal preparation for the week? With Copilot in Word, just enter your dietary preferences and servings, and Copilot will create a polished recipe ready for your kitchen,” the company writes.

“Looking to update your household budget for the new year? Ask Copilot in Excel to analyse your current budget spreadsheet, offer ideas, and set you off to a great start in 2025,” it continues.

The newly-named Microsoft 365 Copilot subscription price goes into effect at the start of current subscribers’ next billing cycle. Thankfully there will be an off ramp for those who won’t use the generative AI-based analytical tools within their productivity suite.

But it’ll take a little bit of work on your part to activate the new Microsoft 365 Classic tier for Personal or Family customers. Doing so will keep you at the current price. Here’s how (per Microsoft’s support site):

• Go to Services & subscriptions. Sign in with the Microsoft account associated with your subscription, if prompted.
• Find your current subscription and select Manage > Cancel subscription
• To downgrade to another plan with fewer features, select Microsoft 365 Personal Classic or Microsoft 365 Family Classic, or another plan that works for you.
• Follow the instructions to complete the switch.

Another AI overreach, but at least there’s a way out

One of the themes of tech in 2024 was companies adding generative AI features to products where users had shown no indication of desiring it. So far, 2025 shows no indication of that trend slowing down.

At least Microsoft is giving customers a way out, but not without inconveniencing them first. It should have been an option if they wanted to add it, not something they had to actively cancel and downgrade if they didn’t.

Many consumers, myself included, are staunchly against having generative AI in apps like Microsoft Word, for instance, let alone having to pay extra for the privilege.

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