Google and Microsoft Force Customers to Pay For AI

For the last two years, enterprise software companies have been trying to convince customers to fork over more money for new artificial intelligence features, such as generating notes from conference calls and ginning up images for slide presentations.

Now, the software firms are no longer asking. Google said Wednesday it would automatically include generative AI features with Workspace productivity apps like Gmail, and charge basic tier customers an additional $2 per employee per month—a 16% increase over the previous bundle that excluded the features. Google had previously sold the features as an add-on, charging $20 to $30 per employee per month.