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Microsoft reports AI is more expensive than paying human employees

Microsoft reports are exposing AI's real cost problem: Using the tech is more expensive than paying human employees | Fortune

fortune.com

May 23, 2026

3 min read

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57/100

Summary

Firms today are pushing employees to use as much AI as possible to squeeze out the technology’s productivity gains. But that pressure is leading to cracks, and those cracks may be irreparable. Microsoft has reportedly begun canceling most of its direct Claude Code licenses, according to The Verge, instead moving engineers toward using GitHub Copilot CLI. That comes just six months after the firm f...

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