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Is this the dawn of the Tokenpocalypse?

TechCrunch AI · Jun 7, 2026, 8:26 PM

Key takeaways

  • Microsoft recently announced major pricing changes for Git Hub Copilot — changes that were drastic enough that a Reddit user said their company has started calling it the Tokenpocalypse.
  • On the latest episode of Tech Crunch’s Equity podcast, Kirsten Korosec, Sean O’Kane, and I discussed what those changes might mean for the larger AI ecosystem.
  • “Can these AI labs collapse that cost [and] progress the tech enough in a way that it eventually meets in the middle with customers’ appetite for spending?” Sean wondered.

Why this matters: a development in AI with implications for how people work, create, and decide.

Microsoft recently announced major pricing changes for Git Hub Copilot — changes that were drastic enough that a Reddit user said their company has started calling it the Tokenpocalypse.

On the latest episode of Tech Crunch’s Equity podcast, Kirsten Korosec, Sean O’Kane, and I discussed what those changes might mean for the larger AI ecosystem. After all, as Anthropic and other big AI companies plan to go public, leading to awkward questions about profitability, we’re likely to see similar price increases for other AI products, and more usage restrictions as businesses try to keep costs under control.

“Can these AI labs collapse that cost [and] progress the tech enough in a way that it eventually meets in the middle with customers’ appetite for spending?” Sean wondered.

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