Microsoft loses money on every GitHub Copilot client
Microsoft is suffering significant financial losses due to the artificial intelligence tool GitHub Copilot, The Wall Street Journal reports.
The AI-powered assistant is available in two subscription options. The individual plan costs $10 per month or $100 per year. The price of the business plan is $19 per user per month.
However, the losses of the Microsoft-owned GitHub service are much higher than these figures. On average, earlier this year, losses reached $20 per user per month. In some cases, losses reached as much as $80 per month. So 1.5 million users means significant losses for the company.
With this in mind, Microsoft recently announced that the price of Microsoft 365 Copilot for enterprise customers will reach $30 per user per month. This decision has been criticized by many customers who consider the price of the new service too high.