Satya Nadella Says Microsoft will Shift Software Pricing for AI Agents

Microsoft CEO Satya Nadella has announced that the company is preparing to overhaul the way it prices its software products, driven largely by the rapid rise of AI and the shift in how users engage with digital tools.

Key Highlights

• Microsoft plans shifting from per-user pricing to AI-driven per-agent billing for enterprise customers.
• Satya Nadella says AI agents will redefine Microsoft’s software value, transforming it into an intelligence engine.

Nadella explained that Microsoft is moving away from its decades-old per-user or seat-based pricing model, which has long been the foundation of enterprise software billing. Instead, the tech giant is now exploring a “per-agent” pricing structure, where customers will pay based on the number of AI agents or automated digital assistants deployed within their systems.

According to Nadella, the emergence of AI agents—capable of autonomously completing tasks, generating content, and interacting with users—will fundamentally change how Microsoft delivers value to customers. These AI-driven agents will not just supplement human productivity tools but become key operational units within businesses. As a result, Microsoft’s software business is evolving into what Nadella describes as a more robust “infrastructure and intelligence ecosystem” rather than a traditional software suite.

Also Read: Nadella’s Pay Hits Record $96.5M as Microsoft Rides AI Boom

He emphasized that platforms like Microsoft 365 will continue to play a central role, serving as the workspace where AI agents operate, store data, and coordinate tasks. This shift aligns with Microsoft’s broader transformation strategy, where the company envisions itself not merely as a software provider but as an “intelligence engine” powering next-generation digital workflows.

Satya Nadella noted that future pricing will aim to reflect the true value created by AI automation, ensuring fairness while supporting the rapid adoption of intelligent tools across industries. He also hinted that more details on the new pricing approach will be shared as Microsoft rolls out upcoming AI-powered products and services.