Microsoft has announced that it will raise prices on its Microsoft 365 productivity suites for businesses and government clients starting in July 2026, marking the first commercial price increase since 2022. Small business and frontline worker plans face the steepest hikes: Business Basic jumps 16.7% to $7 per user per month, while frontline worker subscriptions surge up to 33%. Enterprise plans see more modest bumps, ranging from 5.3% for E5 to 8.3% for E3. Microsoft attributed the increases to more than 1,100 new features added to the suite, including AI-driven tools and security enhancements. Copilot remains a separate $30-per-month add-on.

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Microsoft announced on Tuesday its largest-ever investment in Asia -- $17.5 billion over four years starting in 2026 -- to expand cloud and AI infrastructure across India, fund skilling programs, and support ongoing operations in the country. The commitment adds to a $3 billion investment the company announced in January 2025 that is on track to be spent by the end of 2026. A new hyperscale cloud region in Hyderabad is set to go live in mid-2026 and will be Microsoft's largest in India, comprising three availability zones. The company also plans to integrate AI into two government employment platforms -- e-Shram and the National Career Service -- that serve more than 310 million informal workers. Microsoft is doubling its India skilling target to 20 million people by 2030; since January, it has already trained 5.6 million.

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Microsoft Excel, the 40-year-old spreadsheet application that helped establish personal computers as essential workplace tools and contributed to Microsoft's current valuation of nearly $4 trillion, has weathered both the rise of cloud computing and the current AI boom largely unscathed. In its most recent quarter, commercial revenue for Microsoft 365 -- the bundle including Excel, Word, and PowerPoint -- increased 17% year over year, and consumer revenue rose 28%. The software traces its origins to a 1983 Microsoft offsite under the code name Odyssey, where engineers set out to clone Lotus 1-2-3. That program had itself cloned VisiCalc, the first computerized spreadsheet, created by Dan Bricklin for the Apple II in the late 1970s. Bricklin never patented VisiCalc. "Financially it would have been great if we'd have been able to patent it," he told Bloomberg. "And there would be a Bricklin Building at MIT, instead of a Gates Building." Excel now counts an estimated 500 million paying users. The Pentagon pays for 2 million Microsoft 365 licenses. Google's free Sheets product, launched in 2006, captured casual use cases like potluck sign-ups but failed to dislodge Excel from enterprise work. AI chatbots present the latest challenge, but venture capitalists say nearly every AI spreadsheet startup they meet builds on top of Excel rather than replacing it.

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