Microsoft's GitHub Copilot Service Suffers Heavy Losses: Each User Loses Hundreds of Dollars

Over the past year, the wave of generative artificial intelligence has brought tremendous profits to many companies. One of the companies that has benefited the most from the AI wave is NVIDIA, whose graphics cards experienced a significant increase in profits and stock prices in 2023 due to strong demand from Microsoft and other companies for data centers.

However, Microsoft has encountered difficulties in its AI services. According to a new report from The Wall Street Journal, Microsoft has suffered significant losses on one of its first generative AI services, GitHub Copilot.

GitHub Copilot was launched in June 2022, allowing developers to use the Copilot AI assistant to help write code for applications and services. The service currently charges $10 per month or $100 per year. Verified students and owners of mature open-source projects can use GitHub Copilot for free.

The Wall Street Journal reported that Microsoft has incurred significant losses on GitHub Copilot since its launch. The report states:

According to an insider, the company has been losing over $20 per user per month in the first few months of this year, with some users causing losses as high as $80 per month.

Microsoft plans to launch Microsoft 365 Copilot for enterprise users on November 1st. This AI service will assist users in using the company's productivity applications such as Word, PowerPoint, Excel, Outlook, etc., with a monthly fee of $30 per user.