Microsoft shifts GitHub Copilot to token billing June 1

Microsoft will shift its widely used GitHub Copilot AI coding assistant from a flat-rate subscription model to a usage-based token billing system starting June 1, a move that has sparked significant concern among developers facing potentially dramatic cost increases. The change applies to all tiers of the service, including Copilot Pro, Copilot Pro, Business, and Enterprise.

Under the new system, users will be charged based on the number of AI tokens consumed during their activities. While the base subscription prices will remain unchanged, each plan will now provide a monthly allocation of GitHub AI Credits equal to the subscription cost. Copilot Pro, for instance, provides $10 in monthly credits, while Copilot Pro provides $39. These credits are consumed as users access AI-powered features beyond basic code completions and next-edit suggestions, which remain covered under the base plan. Activities such as chat-style interactions, code reviews, command-line interface use, and advanced agentic workflows will draw from the credit pool. Once credits are exhausted, users will pay for overages at published per-token rates, with unused credits expiring at the end of each month.