Microsoft is increasing the price of its consumer Microsoft 365 bundle by $3 per month as it adds AI features to

This eliminates the need for a $20 Copilot Pro add-on to try the AI features in Office apps, but it increases the overall subscription fee. A Microsoft 365 Personal plan now costs

Microsoft said on Thursday that it is now including Copilot AI features to its Microsoft 365 suite for individual consumers, a day after it rolled out on-demand AI agents for businesses.

This raises the price of a Microsoft 365 Personal subscription from $7 a month or $70 a year to $10 and $100; a family subscription goes from $10 a month or $100 a year to $13 a month or $130 a year. For current subscribers, these prices go into effect the next time your plan renews.

In a blog post Thursday, Microsoft said it’s increasing the price of its Microsoft 365 bundle for consumers by $3 a month.

Google announced that it was doing away with a separate upcharge for its Gemini AI features in Workspace and forcing you to pay for it instead whether you want AI or not. Today, Microsoft is following suit,

The Microsoft 365 bundle price is increasing in the U.S. for the first time in a dozen years as the tech giant adds artificial intelligence tools into longtime products like Microsoft Word. The cost of Microsoft 365 Personal and Family subscriptions will rise by $3 per month,