On June 1, 2026, GitHub made a major change to Copilot, its popular AI coding assistant. The company switched from a flat monthly fee to a system based on token usage. Now developers pay for exactly how much the AI software uses, measured in GitHub AI Credits. One credit costs one cent.
This change has shocked the developer community. Some users estimate their bills will increase from around $29 to $750 a month. Others expect costs to jump from $50 to nearly $3,000. The reason is that Copilot has evolved significantly. It started as a simple tool suggesting the next line of code. Today, it can work independently for hours, planning tasks and editing entire projects.
GitHub argues this new system is necessary because the old approach was unsustainable. Previously, developers paid a fixed amount monthly, regardless of whether they asked one quick question or ran a long coding session.
The reaction has been negative. Many developers are switching to competitors like Cursor and Windsurf, which still offer flat monthly rates. Others are using open-source alternatives such as Cline and Continue.dev.
Mario Rodriguez, GitHub's Chief Product Officer, says the change aligns pricing with actual usage. However, as of now, neither GitHub nor Microsoft has publicly responded to complaints about the dramatic cost increases.