Monday.com has upended its traditional per-seat subscription model, introducing a hybrid pricing structure that factors in AI credit consumption alongside user licenses. This change, effective May 2026, creates a fresh budgeting challenge for enterprises: they now pay not only for human seats but also for AI-driven automated tasks.
The new tiers offer bundled AI credits 1,000 for Basic, 2,000 for Standard, and 3,000 for Pro plans. Exceeding those limits incurs charges of $0.01 per credit on annual subscriptions or $0.0125 monthly, shifting the revenue focus from headcount to AI workload. Co-CEO Roy Mann explained the shift as essential for their 250,000-plus customers navigating a rapidly evolving business environment, emphasizing the platform’s new role as an “AI Work Platform” rather than just a “Work OS.”
Monday.com now embeds native AI agents connecting users effortlessly to Anthropic, Microsoft, and OpenAI services, allowing teams without coding expertise to automate workflows with one click. However, this pivot hasn’t been smooth internally. The company announced layoffs of around 20% of its workforce 620 to 630 employees citing AI strategy realignment over cost-cutting, a move reflecting a wider industry trend where AI integration drives reshaping of teams. CEO Eran Zinman stressed the decision was about vision, not margin improvement.
Investors reacted positively; shares surged 12.6% after the announcement, recovering some ground after a steep decline earlier in the year. Monday.com also maintained its revenue growth forecast at 19-20%, signaling confidence that its value will increasingly depend on AI capabilities rather than classic SaaS metrics.
