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Microsoft 365 Copilot adoption is under 4.5% after 3 years, only 1% use it weekly, yet prices went up
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this post was submitted on 08 Jul 2026
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Insufficient demand means insufficient return on investment, so of course prices need to go up to make up the shortfall.
And in another story on my feed, we have a trillionaire with the opposite problem, where there's too much demand, so of course, prices need to go up to reduce demand.
Also because it was costing them $400 to provide $1 of compute...
'365' subscribers got rate increases specifically because the copilot bullshit was bundled in. they're already paying for it.. they just don't use it. and you have to jump through hoops, such as feigning a cancellation, just to be offered the non-copilot plan. most don't know that even exists as an option.
They're all already paying for it, barely using it, and still Microsoft is going broke paying for it.
This is literally the Gym Membership strategy that makes capitalists piss themselves, and an entity as big as Microsoft can't make it work.
AI is dead on delivery.
Also when there are shortages of material goods, prices and profits go up.
Software supply is inelastic though?
Only if the software is being run on your own computer and not the cloud. Servers cost money and power.
On your own computer - the other golden goose with 95% profit margin.
Oh yeah AI is killing that too....