Canva Prices Surge by 300%! Are AI Design Features Worth the High Cost?

Canva, the popular design software company, will significantly increase the price of its subscription service, Canva Teams, starting next year. In some cases, the price hike exceeds 300%, mainly due to the recent expansion of its generative AI features. Canva believes these new tools add substantial value to the platform, making the price increase justified.

Details of the Price Increase

In the United States, some Canva Teams users report that their annual subscription will rise from $120 to $500 (for up to five users). Although users can enjoy a 40% discount in the first year, reducing the cost to $300, the increase remains significant. Similarly, in Australia, the monthly fee of AUD 39.99 (about USD 26) for five users will change to AUD 40.50 per user, raising the annual cost for a five-person team from AUD 480 to AUD 2,430 (about USD 1,636).

Impact on Existing Users

Most affected accounts were previously locked into lower pricing that Canva no longer offers. Since April, Canva has been transitioning new Teams subscribers to a $10 per user per month pricing model, requiring at least three users. Existing users will begin shifting to this new structure starting in September. Canva’s Communications Lead, Louisa Green, stated that the change aims to “reflect the current pricing of the plans and the value of our expanded product experience.”

Canva’s AI Expansion

In recent years, Canva has introduced a range of generative AI features, significantly expanding its product lineup. These features include Magic Media, a text-to-image generator, and Magic Expand, a background expansion tool, broadening Canva’s appeal from design and marketing professionals to a wider audience. Louisa Green highlighted that the introduction of new services like Visual Suite and Magic Studio was a key factor in the company’s decision to raise prices.

Mixed Reactions from Users

User reactions to the significant price increase have been mixed. Some users have expressed dissatisfaction, openly criticizing the change online, with some even planning to cancel their subscriptions and switch to Adobe’s design software. Canva is attempting to reposition itself as a more comprehensive and high-end design platform, aligning with its recent acquisition of Affinity software’s parent company and plans to go public in the U.S. in 2026.

Conclusion: A New Era for Canva

Canva’s substantial price hike marks a major shift for the company, transforming from a provider of relatively affordable design tools into a high-end platform with advanced AI-driven features. As Canva continues to evolve and integrate more sophisticated functions, the company clearly aims to reposition itself in the market. Whether users will see the value in these changes remains to be seen, but one thing is certain: Canva is entering a new era focused on high-end products.

Frequently Asked Questions (FAQ)

1. Why is Canva Teams raising its prices so significantly?

Canva believes that the added value of its generative AI features warrants the price increase, reflecting the enhanced capabilities of the platform.

2. What new AI features does Canva offer?

New features include Magic Media, a text-to-image generator, Magic Expand, a background expansion tool, Visual Suite, and Magic Studio, all designed to make the design process more intuitive and efficient.

3. When will the new pricing take effect?

The new pricing structure will gradually affect existing users starting in September and will be fully implemented next year.

4. What alternatives are available?

Many users are considering switching to Adobe design software, such as Adobe Photoshop and Illustrator, which also offer a wide range of design tools and features.

5. Are Canva’s generative AI features worth the high cost?

This depends on whether users can fully leverage Canva’s AI tools. If these features significantly boost productivity and creativity, they may be worth the expense for some users.

We hope this article helps you understand the reasons behind Canva’s price increase and its impact, providing valuable insights for your subscription decision!