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2h ago

Microsoft Rolls Out Microsoft 365 Premium, a $20 Consumer Bundle for Office and Advanced AI

The move shifts previously enterprise-only AI capabilities into a mainstream plan to steer individuals toward Microsoft’s broader ecosystem.

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The new Office icons that were announced today.

Overview

  • Microsoft 365 Premium costs $19.99–$20 per month and combines Office apps, 1TB of OneDrive storage, and higher Copilot usage limits in one consumer plan.
  • According to Microsoft, the plan includes access to OpenAI’s latest models such as GPT-5 and 4o along with reasoning agents including Actions, Researcher, and Analyst, with some features rolling out over time.
  • Microsoft said it will stop promoting a standalone consumer AI subscription, and a spokesperson said Copilot Pro is not being discontinued.
  • The company positions the bundle as better value than ChatGPT Plus at the same price because it includes productivity apps and cloud storage.
  • Microsoft underscores its OpenAI ties through Azure-hosted models and a multibillion-dollar investment, and it reported 89 million consumer Microsoft 365 subscribers in the June quarter.