GitHub will start charging Copilot users based on their actual AI usage

Key Points:

• GitHub will shift to a usage-based billing model for its Copilot AI service starting June 1 to better align pricing with actual usage and ensure financial sustainability amid rising AI computing costs.
• Under the new system, subscribers receive monthly "AI Credits" matching their subscription fee, with additional usage billed based on token consumption, which varies by AI model sophistication and usage intensity.
• Simple AI suggestions like code completion remain free of credit charges, but advanced features such as Copilot code reviews will incur extra costs through GitHub Actions minutes.
• The change responds to rapidly increasing backend costs, reportedly doubling since January, driven by heavy users and complex AI workflows, making the previous flat-rate subscription model unsustainable.
• This move aligns with broader industry trends, as other AI providers like Anthropic also begin charging customers based on actual resource consumption rather than subsidized flat fees to manage demand and improve service reliability.