On the one hand, This is another clever pricing scam. Which Microsoft wins either way.
Unless you want to pay for your IDE + Copilot with JetBrains, this will still benefit only Visual Studio Code, which Microsoft knows that you cannot beat free. So this a great resurgence of 'Embrace' with free developer tools.
On the other hand, Co-pilot is going to probably ruin the Leetcode, Hackerrank, Codility candidate as a candidate can Co-pilot the solution if not checked properly.