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

Microsoft has been testing adding AI-powered Office apps, the most important feature of Copilot Pro, into the Microsoft 365 subscriptions in recent months. What was previously only available in Australia, New Zealand, and a number of countries across Asia is now expanding to most markets worldwide.

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

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.

Microsoft 365, formerly Microsoft Office, includes Word, Excel, and PowerPoint. It's a subscription service, but there are ways to use it for free.

However, new features come with a price increase. The monthly cost will rise by $3, bringing the Personal plan to $10 per month (or $100 annually) and the Family plan to $13 per month (or $130 annually). According to Microsoft, the price increase will come into effect the next time current customers are billed.

Microsoft Corp. is raising the price of its package of Office apps for consumers, a bet that subscribers will be willing to cough up more for access to new artificial intelligence tools.

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,