AI Builder credits for Power Apps and Power Automate will be retired

Microsoft is retiring AI Builder credits and replacing them with Copilot Credits for AI Builder features in Power Apps and Power Automate, as already announced in October 2025. This post should remind existing customers that these credits will run out.

AI Builder features are not retired and continue to work on a common credit-based licensing model with Microsoft Copilot Studio.

Timeline

  • 1 November 2025: Microsoft stopped the sale of AI Builder capacity add-ons for new customers. Existing customers could still use and renew them.
  • 1 November 2026:
    • AI Builder capacity add-ons reach end of life. Credits from active add-on contracts remain usable until those contracts expire. Customers cannot renew their contracts.
    • New or renewed Power Platform and Dynamics 365 licenses no longer include seeded AI Builder credits. Seeded credits from licenses purchased or renewed before this date remain available until the end of the contract term.

How does this affect your organization?

Last year, Microsoft announced the end of sale for AI Builder capacity add-ons for new customers, with a transition period for existing customers until 1 November 2026.

Microsoft now reminds customers about the end of this product on 1 November 2026.
The November 2026 date is not a universal cutoff for existing credits. Your transition deadline depends on when your contracts expire. Unlike during the transition period from November 2025 to November 2026, you can no longer extend or renew the contract.

Customers should now use Copilot Credits for everything related to AI Builder. AI Builder credits are not converted to Copilot Credits. Consumption rates differ by capability, so there is no single conversion ratio. Review the AI Builder capability rate table for details.

There are two licensing parts for AI Builder:

  1. Customers cannot renew their existing AI Builder capacity add-ons (Product ID CFQ7TTC0LH0Z).
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AI Builder Capacity Add-on T1 will be retired on 1 November 2026
  1. Customers get no more seeded AI Builder credits for Power Apps, Power Automate, or Dynamics 365 licenses if the license is renewed on or after 1 November 2026. Microsoft still lists the affected licenses in the documentation.
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Seeded AI Builder credits will be retired

When AI Builder credits are unavailable or exhausted, usage falls back to available Copilot Credits automatically. If neither credit type is available, affected AI Builder runs are blocked. This can interrupt apps, flows, and business processes.

Existing customers should review and identify their credit consumption across environments via the AI Builder report in the Power Platform admin center and purchase Copilot Credits for the affected environments before existing AI Builder credit entitlements expire. The same number of Copilot Credits will not necessarily cover your current AI Builder usage.

More information

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About the Author

Tobias Asböck

Tobias Asböck

Tobias is a Senior System Engineer with more than 10 years of professional experience with Microsoft 365 products such as SharePoint Online, OneDrive for Business, Teams Collaboration, Entra ID, Information Protection, Universal Print, and Microsoft 365 Licensing. He also has 15+ years of experience planning, administering, and operating SharePoint Server environments. In his spare time, Tobias is busy with updates in the Microsoft 365 world or on the road with his road bike and other sports activities. If you have additional questions, please contact me via LinkedIn or support@topedia.com.

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