A few weeks ago, GitHub announced that Copilot is moving to usage-based billing. No more flat subscriptions, from now on everyone has to pay for the tokens they use.If you’ve been using Copilot on the free tier or an individual plan (like it was my case through a benefit to active open-source contributors), this probably stings. This subscription was the perfect way to test every new model without having to commit to specific subscriptions, and with an extremely generous monthly quota. I know of many people that bought Github Copilot subscriptions over Anthropic ones because it gave you access to Sonnet and Opus with higher quotas than those provided in Claude. So the obvious question is, why was it so cheap?The answer is definitely not generosity. It is well-known that AI labs and big tech have been subsidising token costs for the same reason any platform subsidises onboarding: to build dependency before they extract value and crush their competition. Every cheap API call is also a…
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