'Tokenmaxxing is not what we are optimizing for': Microsoft tells engineer to calm down on AI usage
Microsoft forced to introduce new limits on AI token usage
by https://www.techradar.com/uk/author/mike-moore · TechRadarNews By Mike Moore Published 5 August 2026
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- Microsoft aims to cut down on "tokenmaxxing" by employees
- New guidelines will look to control AI token use to focus on ROI
- This is despite Microsoft reporting record financial results recently
Microsoft has apparently been forced to introduce limits on how much AI usage its engineers are allowed followed reports that some have been taking things to extreme.
The software giant is looking to cut back on "tokenmaxxing" within the company - where employees use far more AI tokens that may be necessary.
In an email seen by 404 Media, Microsoft warned employees that new limits on token usage would be introduced as it looked to focus on getting the most out of its AI platforms.
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New guidelines
“As we accelerate our use of GitHub Copilot to deliver on our goals, we all need to be aware of how we consume tokens,” the email to employees from Jay Parikh, an executive vice president at Microsoft said.
“Tokenmaxxing is not what we are optimizing for," he continued. "I want all of us focused on maximizing outcomes that move the needle for our customers and our business.”
“As such, we are updating our internal guidance and managing token spend with the same discipline we apply to every other critical resource."
In a bid to achieve “get greater value from our token investment”, Parikh went on to say Microsoft is making access to the cheaper OpenAI GPT-5.6 model the default model for internal use.
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