Microsoft Copilot AI Expands to Office Apps with New Regional Pricing

Microsoft is expanding its AI Copilot feature to Microsoft 365 Personal and Family subscribers across Australia, New Zealand, and parts of Asia, bringing AI-powered tools to popular Office applications like Word, Excel, and PowerPoint. However, the rollout comes with both an AI boost and a higher price tag for customers in these markets.

Copilot’s Expansion and New Subscription Costs

• New Markets: Microsoft 365 Personal and Family subscribers in Australia, New Zealand, Malaysia, Singapore, Taiwan, and Thailand will soon receive access to Microsoft’s AI Copilot, which was previously limited to the more expensive Copilot Pro subscription.

• Cost Increase: Microsoft’s Copilot features will be included in these existing subscriptions, but prices are set to rise with the next renewal cycle. For instance, in Australia, subscription costs reportedly jumped from AU$139 to AU$179.

• Limited AI Credits: The AI functions aren’t unlimited. Microsoft explains that subscribers will receive a monthly allocation of AI credits for use across Office apps like Word, Excel, PowerPoint, Designer, OneNote, and Outlook. These credits also apply to Windows apps such as Paint, Photos, and Notepad, with a Copilot Pro subscription available for those needing additional credits.

The update brings Copilot and image-generating capabilities in the Microsoft Designer app to these subscribers. However, for Microsoft 365 Family accounts, these features will only be accessible to the primary account holder, with other family members left out of the AI boost.

Regional Rollout with an Eye on Global Expansion

Currently, Copilot is only available in select Asia-Pacific (APAC) regions, but Microsoft’s history of testing in regional markets before global releases suggests it may only be a matter of time before the same update arrives in the US and Europe. Microsoft stated that it’s gathering feedback from customers in these regions before making further announcements.

Microsoft's deep commitment to AI, driven by CEO Satya Nadella’s vision, suggests that the company is set on integrating AI tools across its global customer base. By focusing on the APAC region initially, Microsoft can measure user responses, scale server capacity, and refine Copilot features before a wider launch.

Growing Criticism Around Forced AI Integration

Despite the potential benefits, the forced integration of Copilot has sparked criticism among users who feel the feature isn’t necessary for everyone. Some Reddit users have voiced concerns over increased CPU usage and privacy risks, calling it “unwanted bundleware.” One Reddit user, a graduate student from Taiwan, pointed out that for academic settings, any use of AI assistance can lead to misconduct charges, making the AI features more of a hindrance than a help.

For subscribers who prefer not to use these AI tools, Microsoft is introducing a “Microsoft 365 Classic” option, which will offer the familiar Office suite without the Copilot features or price increase.

What This Means: Microsoft’s Next AI-Driven Chapter

The expansion of Copilot AI to Microsoft 365 marks a significant step in Microsoft’s push to integrate AI across its product offerings. The phased rollout allows Microsoft to gather regional feedback while gauging the appeal of AI-powered tools among everyday users. However, the mixed reaction to Copilot’s forced integration raises questions about balancing innovation with customer choice, particularly as Microsoft increases prices to cover these new capabilities.

As AI continues to evolve, Microsoft’s approach with Copilot will likely shape the future of Office applications, signaling that AI-driven features may soon become a standard part of productivity tools worldwide.

Editor’s Note: This article was created by Alicia Shapiro, CMO of AiNews.com, with writing, image, and idea-generation support from ChatGPT, an AI assistant. However, the final perspective and editorial choices are solely Alicia Shapiro’s. Special thanks to ChatGPT for assistance with research and editorial support in crafting this article.