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Canva Raises Teams Prices by Over 300 Percent, Citing AI Enhancements

ByHilary Ong

Sep 5, 2024

Canva Raises Teams Prices by Over 300 Percent, Citing AI Enhancements

Canva is raising prices for its Teams subscription, with some users facing increases of over 300%, due to the company’s expanded use of generative AI tools.

Specific price changes include:

  • In the United States:
    • Previous price: $120 per year for up to five users
    • New price: $500 per year (reduced to $300 for the first year with a 40% discount)
  • In Australia:
    • Previous price: $39.99 AUD per month for up to five users
    • New price: $40.50 AUD per user per month (equating to $2,430 AUD annually for five users)

These price changes primarily affect Canva Teams, a business-oriented subscription plan designed for multiple users. Canva’s Pro and Enterprise tiers are not impacted by these adjustments.

Louisa Green, Canva’s communications lead, noted that the increase is intended to align with the “expanded product experience” provided by Canva’s growing suite of tools. She explained that the changes bring older pricing in line with what new customers have been paying since April when Canva adjusted the Teams pricing to $10 per user per month, with a minimum of three users required.

New AI Tools Justify Higher Prices

The price hike is part of Canva’s strategy to incorporate advanced features, including AI-driven tools such as Magic Media, a text-to-image generator, and Magic Expand, a tool for extending image backgrounds. These additions aim to enhance Canva’s functionality, making it a more comprehensive tool not only for design and marketing professionals but also for broader workplace applications.

Users have expressed frustration with how Canva communicated these changes. Instead of a public announcement, Canva informed customers of the new pricing via emails, which is different from its usual approach of making public statements about such changes. Some users voiced dissatisfaction online, with some indicating plans to cancel their subscriptions and switch to other platforms like Adobe.

These changes come as Canva is rapidly expanding. In recent months, the company acquired Serif, the UK-based developer behind the Affinity creative software suite, reportedly for several hundred million British pounds. Canva also recently acquired the generative AI image company Leonardo.

These moves indicate Canva’s ongoing efforts to enhance its product offerings and potentially prepare for a public listing in the U.S. market in 2026.


Featured Image courtesy of SOPA Images/LightRocket via Getty Images

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Hilary Ong

Hello, from one tech geek to another. Not your beloved TechCrunch writer, but a writer with an avid interest in the fast-paced tech scenes and all the latest tech mojo. I bring with me a unique take towards tech with a honed applied psychology perspective to make tech news digestible. In other words, I deliver tech news that is easy to read.

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