The world's biggest multi-national technology company, Microsoft, announced that it will stop promoting a consumer subscription for artificial intelligence services and introduce a new bundle blending AI features with traditional productivity apps.
In a significant move to redefine consumer productivity, Microsoft has officially launched its new AI productivity bundle for consumers as “Microsoft 365 premium” from October 2025.
The new AI productivity tool seamlessly integrates advanced artificial intelligence capabilities primarily through the enhanced Copilot assistant, directly into the familiar Microsoft 365 suite.
Previously the software company introduced Copilot Pro at $20 per month in early 2024 and Microsoft 365 family which allows for up to 6 users and 6 terabytes of cloud storage at $12.99 per month.
The new AI productivity tool bundle essentially combines both and will cost $19.99 for monthly subscription.
Gareth Oystryk, senior director marketing Copilot Pro and Microsoft 365, said, “It’s really going to be our most powerful AI and productivity subscription for any individual. It brings together our trusted collection of productivity apps with Copilot built-in, along with our highest Copilot usage limits and exclusive features.”
The latest announcement marks a pivotal moment in the evolution of AI, making sophisticated tools accessible to individual users who use Artificial intelligence for everyday tasks.
The introduction to Microsoft 365 Premium signals a strategic acceleration in Microsoft's commitment to embedding AI at the core of its product ecosystem and how it works with Microsoft Office suite.
Additionally, Microsoft is also opening up access to its Researcher and Analyst reasoning agents to Microsoft 365 Premium, and they’ll both be available in Word, PowerPoint, and Excel apps soon.
The newly introduced AI tool bundle promises to elevate productivity to unprecedented levels, offering intelligent assistance that can draft documents, analyze data, create presentations, and manage communications with remarkable efficiency.
Microsoft 365 Premium subscriptions will be priced at $19.99 per month, the same price as OpenAI’s ChatGPT Plus subscription, and will include Microsoft’s highest usage limits in features like GPT-4o image generation and voice, as well as Copilot Podcasts, Deep Research, Vision, and Actions.
“We created this subscription really for any solopreneur, professional, or high achiever looking to tackle the most demanding productivity tasks with AI at their side,” says Microsoft marketing director.
Moreover, it will also include all of the Microsoft 365 Family benefits, with access to Office desktop apps for six people, 1TB of storage per person, and more.
“When you look at the value you get with this plan at this price point, and you stack that against the competition, you’re going to find that the value is pretty undeniable,” Microsoft marketing director informed.
To enable AI features for Microsoft Office apps (word, excel etc.), users just need to sign into their Microsoft Office accounts after paying for 365 premium subscriptions.
Existing Personal and Family subscribers will also get GPT-4o image generation and voice access, with higher usage limits than the free Copilot Chat, which was only available for Microsoft 365 commercial customers previously.
“This capability works with Word, Excel, PowerPoint, OneNote, and Outlook on Windows PCs, Mac, iPad, and more,” Oystryk says.
While launching AI new productivity tools, the technology company clearly hints at their competitors like ChatGpt, ChatGpt plus maker OpenAI.
“Productivity is our DNA, we’re office. While others will try to replicate us, there is no substitute for the real thing,” said Sumit Chauhan, vice president Microsoft.
