Microsoft (NASDAQ:MSFT) is increasing the price of its 365 Family and Personal plans for the first time in the U.S. in more than 12 years, the software and cloud giant revealed today. The price increase is $3 per month,

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 is upgrading its Microsoft 365 Personal and Family plans with the integration of Copilot features and Microsoft Designer, but these plans are also getting a price increase worldwide.

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

The Microsoft 365 bundle price is increasing in the U.S. for the first time in a dozen years as the tech giant adds artificial intelligence tools into longtime products like Microsoft Word. The cost of Microsoft 365 Personal and Family subscriptions will rise by $3 per month,