Microsoft stock rose 1.6 % in premarket trading Tuesday, following a CNBC story that the company is preparing a significant price increase for some Microsoft Office subscriptions.

According to the network, the software giant is informing partners that consumers who pay by the month would soon be charged 20% extra for its flagship suite of products.

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According to CNBC, the move is meant to improve income predictability and reduce turnover.

Microsoft has already stated that the Microsoft 365 suite of applications will see price increases of up to 20% beginning March 1. This increase solely applies to commercial products. Education and consumer goods prices will remain stable.

In the fiscal year 2021, the Microsoft 365 suite, formerly known as Office 365, had sales of $53.9 billion, accounting for about a third of Microsoft's total revenue of $168.1 billion.

According to Jared Spataro, Corporate Vice President for Microsoft 365, in an August blog post, the suite has over 300 million commercial paid seats.

Microsoft stock was up more than 2% in early premarket trading, but it retraced slightly after Reuters reported that the EU's antitrust regulator is looking into the company's $16 billion acquisition of transcription technology company Nuance Communications , and has asked customers and competitors to submit a list of concerns.