Microsoft will require paid subscriptions for hotpatching in Windows Server 2025 starting July 1, 2025, allowing admins to install updates without restarting. Currently, hotpatching is available for free in preview, but those testing it must disenroll by June 30 to avoid automatic subscription. The service will cost $1.50 per CPU core per month and is designed for both multi-cloud environments and on-premises servers via Azure Arc connectivity.

Microsoft is launching a new Microsoft 365 Premium subscription tier that combines AI features with traditional productivity apps for $19.99 per month, while discontinuing its standalone consumer subscription for AI services. The new offering, which enhances user capabilities in Office apps, will also provide access to advanced AI reasoning agents previously available only to corporate users. Microsoft continues to experience growth in its consumer subscriber base, with reported increases in revenue from these products.

Australia's competition regulator, the ACCC, has filed a lawsuit against Microsoft, accusing the company of misleading approximately 2.7 million customers regarding price increases for Microsoft 365 subscriptions linked to its AI tool, Copilot. The regulator claims that Microsoft failed to disclose the availability of a cheaper "classic" plan during the transition, violating consumer protection laws.