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Microsoft Moves GitHub Copilot to Token‑Based Billing

The company says rising compute from agents and advanced code tools means costs must be billed by usage to reflect actual operating expense.

Overview

  • Microsoft switched GitHub Copilot to token or credit billing on June 1, 2026, with Copilot Pro getting $10 in monthly credits and Pro+ receiving $39.
  • Developers posted screenshots on Reddit and X showing projected monthly bills jumping from tens to hundreds or thousands of dollars, and some users have cancelled subscriptions in response.
  • Microsoft frames the change as a response to Copilot’s evolution into chat, debugging, code review and autonomous agents that use far more compute than simple autocomplete.
  • The cost shift is likely to affect independent developers and small teams more than large enterprises because it makes monthly expenses less predictable and harder to budget.
  • Analysts note the move follows a wider industry trend toward usage pricing, raises questions about how long previous subscriptions were subsidized, and leaves outstanding demand for clearer billing details from Microsoft.