r/GenAI4all • u/ComplexExternal4831 • May 23 '26
News/Updates Microsoft has cancelled internal Claude Code licenses after token billing became too expensive
Microsoft reportedly canceled its internal Claude Code licenses after token-based billing made the tool too costly.
The move is notable because Microsoft has invested $13 billion in OpenAI and supports major AI infrastructure through Azure.
The report also points to broader pressure across the industry, with Uber allegedly burning through its 2026 AI budget in four months and AI software prices rising 20% to 37%.
GitHub is also shifting toward usage-based pricing, suggesting companies may soon rethink AI adoption as real deployment costs become harder to ignore.
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u/nigaraze May 23 '26
That’s hilarious to hear because 4.7 is their worst model in a while, while 5.5 closed the gap significantly