product updateGitHub

GitHub Copilot switches to usage-based billing with AI Credits starting June 1, 2025

TL;DR

GitHub will replace Copilot's flat subscription model with usage-based billing starting June 1, 2025. Users will consume GitHub AI Credits based on their actual Copilot usage, marking a significant shift in the company's pricing strategy.

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GitHub Copilot switches to usage-based billing with AI Credits starting June 1, 2025

GitHub announced it will transition GitHub Copilot from flat subscription pricing to usage-based billing starting June 1, 2025. Users will consume GitHub AI Credits based on their actual Copilot usage rather than paying fixed monthly fees.

The change affects all GitHub Copilot users across individual, business, and enterprise tiers. GitHub has not yet disclosed the credit consumption rates or how pricing will compare to current subscription models.

Current pricing structure

GitHub Copilot currently operates on flat subscription pricing:

  • Individual: $10/month or $100/year
  • Business: $19/user/month
  • Enterprise: $39/user/month

The company has not announced whether these tiers will remain or be replaced entirely by the credit system.

Unknown details

GitHub's announcement provides minimal detail on the new billing structure. Critical information not yet disclosed includes:

  • Credit consumption rates per code suggestion
  • Credit pricing and purchase options
  • How usage will be measured and tracked
  • Whether subscription tiers will continue alongside credits
  • Impact on existing annual subscriptions

The announcement consists of a single sentence with no supporting documentation or FAQ.

What this means

The move to consumption-based pricing follows a broader industry trend toward usage-based billing for AI tools, allowing companies to scale costs with actual usage rather than seat-based licensing. However, this model can make costs unpredictable for heavy users who previously benefited from unlimited usage under flat subscriptions. Organizations will need to monitor usage patterns to budget accurately. The lack of pricing details with less than six months until implementation leaves developers and enterprises unable to assess financial impact.

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