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

According to emails, Australian 365 Family users will also see an increase from AU$139 to AU$179, while 365 Personal subscribers will have a rise from AU$109 to AU$159. That's a 45% price hike, and it's all for AI features and enhancements in apps that's contributing to it.

Microsoft 365 is getting a $3-per-month price increase for Copilot AI tools. Existing subscribers can opt out by jumping through hoops, but only for a limited time.

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 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 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.