Microsoft 365: Tips to Avoid Increases in Office Subscription Costs

Microsoft 365: Tips to Avoid Increases in Office Subscription Costs

Microsoft 365 Subscription Changes

Microsoft has introduced the AI assistant Copilot into its Microsoft 365 suite, which includes popular applications like Word, Excel, Outlook, and PowerPoint. However, with the launch of these new features, Microsoft has raised subscription prices globally, prompting existing users to reassess their subscription choices.

Subscription Price Increases

As of now, the subscription costs for the Office package have increased significantly. For users in eurozone countries, the price for the personal subscription has jumped from €69 to €99 per year, while family subscriptions have risen from €99 to €129 per year. This represents an increase of about 30% for many users, depending on their location.

Exploring Cheaper Subscription Options

Notably, Microsoft offers an option for users who do not wish to use AI features. Users can switch to the new "Classic Personal" or "Classic Family" pricing tiers, which come at a lower cost. However, finding these options isn’t straightforward.

Steps to Switch to Classic Plans

To downgrade your subscription, follow these steps:

  1. Log in to your account on account.microsoft.com.
  2. Navigate to the ‘Subscriptions’ section.
  3. Click on "Cancel Subscription."
  4. Select a "Classic" subscription plan, which will be activated at your next renewal.

Microsoft has indicated that this switching option will only be available for a limited time, but no specific deadline has been provided.

Limitations of Copilot

Even with the price increase, access to Copilot comes with limits. According to Stiftung Warentest, a consumer testing organization in Germany, users will have a monthly quota of AI credits. These credits are not transferable to the following month, meaning that those who require additional access will need to opt for a Copilot Pro subscription, costing €22 per month in Europe.

Options for New Customers

For new customers who prefer not to use AI features, the only available route is to start with one of the higher-priced subscriptions that include Copilot and subsequently switch to a Classic plan.

Alternatives to Microsoft 365

If the subscription price and the need for AI features are not appealing, several free alternatives exist that can perform similar tasks without the financial commitment.

Free Office Suite: LibreOffice

LibreOffice is a free software suite that includes applications for word processing, spreadsheets, and presentations. It can open and save documents in Microsoft formats, ensuring compatibility with Microsoft 365 applications. LibreOffice is supported on multiple platforms, including Windows, MacOS, and Linux.

Mobile Option: Collabora Office

For those utilizing mobile devices, Collabora Office is a robust application based on LibreOffice that is available for both iOS and Android.

Email Management: Mozilla Thunderbird

If users are looking for an alternative to Outlook for email management, Mozilla Thunderbird is a strong option. This free email application also includes features for managing calendars and contacts and is available across various operating systems, including Windows, MacOS, and Linux.

Conclusion

With the recent changes to Microsoft 365, existing and prospective users have various paths to follow, whether they choose to stick with Microsoft products or explore more affordable, feature-rich alternatives. The options available cater to different user needs, providing flexibility in managing software expenses.

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