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Microsoft 365 Family subscribers will finally be able to share AI benefits
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Microsoft 365 Family and Premium subscribers will soon be able to share Copilot and other AI benefits across their plans, according to an email seen by The Verge. The change will allow the primary account holder to extend AI usage features to up to five other people, alongside Office apps and OneDrive storage. Microsoft says the update will roll out over the coming months, marking a significant expansion of AI access for family plans. Until now, only the main subscriber could use the bundled AI capabilities.
Microsoft first bundled AI-powered Office features into Microsoft 365 Personal and Family subscriptions last year. At that time, the company limited AI benefits to the primary account holder, leaving other family members without access. The announcement comes a year after Microsoft 365 Premium launched, which combines Copilot Pro and Microsoft 365 Family benefits for $19.99 per month. Premium and Family subscribers are the target of the new sharing options.
Under the new terms, subscribers will get AI for everyone on the plan, including tools to manage AI access for younger family members. Individual AI feature limits will shift to a single AI usage allowance that can be applied to advanced AI features. Subscribers will also be able to purchase more AI usage when needed. These changes aim to make AI consumption more flexible across a household.
The storage change is less generous. Microsoft will move from 1TB of OneDrive storage per person to 2TB of shared storage across the entire plan. This shift will apply after the first renewal following May 2, 2027. Each member will keep their own account and files private while drawing from the shared pool. Microsoft argues this offers more flexibility if one member exceeds 1TB.
Critics see the storage reduction as a major downside and a potential upsell path. A family of six previously had access to up to 6TB of separate storage; now the total shared capacity is 2TB. Microsoft's support note says existing subscribers in eligible markets might qualify for transitional bonus storage. The company also plans to provide support to families that use a lot of storage.
The AI sharing change could also affect costs. Because individual limits become a single allowance, some subscribers may end up paying more for AI usage depending on how they use Copilot. Families that rely heavily on advanced AI features may need to purchase additional usage. At the same time, more household members will gain access to Copilot benefits.
Microsoft frames the updates as greater flexibility and broader access. The email emphasizes sharing Copilot benefits and managing younger family members' AI access. However, the OneDrive change may prompt complaints from subscribers who valued per-person storage. The transitional bonus storage could soften the impact for existing customers.
The AI benefits will be shared over the coming months, while the storage adjustment takes effect after renewals following May 2, 2027. Subscribers should watch for detailed emails and support notes from Microsoft. The changes underscore Microsoft's push to make Copilot a central part of its subscription ecosystem. They also show how AI usage limits and cloud storage are becoming key levers for subscription revenue.
