Asia-Pacific Microsoft 365 customers received a rude awaking, with Microsoft informing them of a significant price increase.

According to The Register, Microsoft sent an email to customers informing them their monthly subscription would increase when they renew. For Australian users, a Microsoft 365 Family subscription will increase from AU$139 to AU$179. Similarly, personal subscriptions will increase from AU$109 to AU$159.

The Register reached out to Microsoft and received the following statement:

These price changes reflect the extensive subscription benefits that Microsoft has added over the past 12 years including advanced security with Microsoft Defender, creative tools like Clipchamp, and countless enhancements to Word, Excel, PowerPoint, OneNote, and Outlook, in addition to new features such as Microsoft Copilot and Microsoft Designer.

The price increases will impact customers in Australia, New Zealand, Malaysia, Singapore, Taiwan, and Thailand.

The fact that Microsoft is citing AI as the reason for the price increase is not likely to go over well with many customers. While AI is revolutionizing many industries, AI fatigue is already growing, with many customers frustrated at products and services costing more for including AI features they don’t want.

Fortunately, according to the outlet, Microsoft is giving users the option to pay for a less costly version of Microsoft 365 that does not include the AI features.