- Microsoft increases the price of M365 Family by 29% and that of M365 Personal by 46%
- The extra money goes to fund its AI tools, whether you like it or not
- So far, six countries have recorded increases, with the UK and US unconfirmed.
Customers in six countries across Asia and Australasia face significant price hikes to stay connected to their Microsoft 365 online services as the company struggles to identify the right price for its business tools. AI.
Australia, New Zealand, Malaysia, Singapore, Taiwan and Thailand are now seeing their bills increase by up to 46%, according to a report from The register., which notes that customers in all six countries received emails last week informing them of the important changes.
The company says charging more will “ensure that Microsoft customers are among the first to access powerful AI capabilities in our apps.”
Microsoft 365 prices are increasing… because AI
Screenshots seen by The register report that Microsoft 365 Family subscriptions have increased from AU$139 to AU$179, with personal subscribers having to pay AU$159, up from AU$109. That means a staggering 29% increase for family members and a staggering 46% increase for personal subscribers’ bills.
The company’s website has since been updated to reflect the prices: AU$159 or AU$16/month for Personal and AU$179 or AU$18/month for Family. Prices in other countries have not yet been affected: both tiers still cost £59.99 and £79.99 in the UK.
“These price changes reflect the many subscription benefits that Microsoft has added over the past 12 years, including advanced security with Microsoft Defender, creative tools like Clipchamp, and countless improvements to Word, Excel, PowerPoint, OneNote and Outlook, plus new features. such as Microsoft Copilot and Microsoft Designer,” a Microsoft spokesperson said.
It is unclear whether more countries will be subject to increased bills – TechRadar Pro asked Microsoft to confirm, but we did not receive an immediate response.
For comparison, Google One AI Premium with 2TB of cloud storage for up to six family members costs AU$32.99/month – even more than the AU$18/month Microsoft wants to charge for its Family plan , which includes 6TB of storage for up to six family members.
iCloud+ with 2TB of storage costs AU$14.99, or AU$44.99 for 6TB. It can be shared among up to six people, but Apple Intelligence features are more limited and come with the hardware, rather than with a cloud storage subscription.