Microsoft (MS) raised the price of its personal and home software "Microsoft 365" for the first time in 12 years. MS announced on the 16th (local time) via a blog that it would increase fees by $3 per month, along with various feature upgrades, including the introduction of the Copilot AI tool.

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.