Is Microsoft Copilot Free? Everything We Know So Far

Is Microsoft Copilot free? How much does it cost, and is it worth the price?

When Microsoft announced its generative AI solution, “Copilot,” in March 2023, the tech company didn’t reveal any pricing information. Initially introduced in “test mode,” Copilot appeared to be an exciting new addition to the Microsoft portfolio.

Some businesses even thought they might be able to access all of Microsoft’s innovative LLM-powered features for free. Unfortunately, that’s not the cause.

Developing a multifunctional AI assistant takes significant investment, even with the help of Open AI. This prompted Microsoft to reveal a rather hefty price tag for Copilot in July this year.

So how much will Copilot actually cost your business, and is it worth the expense?

What is Microsoft Copilot? An Introduction

Before we dive into the full answer to “Is Microsoft Copilot free?” let’s introduce what this innovative solution is. Microsoft Copilot, or “Copilot,” is the latest AI assistant technology produced by Microsoft in collaboration with Open AI.

The solution is powered by a comprehensive “large language model” (or LLM), insights from Microsoft Graph and Microsoft 365 apps. It’s also rapidly rolling out into virtually every part of the Microsoft ecosystem.

In the last few months alone, Microsoft has unveiled versions of Copilot for Microsoft Teams, Microsoft Loop, Office apps, sales tools, and even Microsoft 365 Dynamics.

According to Microsoft, Copilot will streamline modern workflows, improve efficiency, and boost productivity throughout all business environments. Chairman and CEO of Microsoft, Satya Nadella, even described the tool as the next major step in computing productivity.

Initial testers of the product shared an overwhelming amount of positive feedback, pushing Microsoft to embed Copilot’s capabilities into more of its tools. Soon, every user will be able to access Copilot functionality (with ChatGPT LLM technology) in a host of productivity apps.

Unfortunately, there will be a cost, and it’s a pretty big one.

How Does Microsoft Copilot Work?

Copilot allows users to interact with their crucial tools, from Microsoft Word to PowerPoint, using everyday language “prompts” or inputs. While the exact functionality of Copilot and its benefits vary from one app to the next, its fundamental purpose is to act as a digital assistant.

When users type queries into the chatbot input field, the data is routed through the Microsoft Graph system for analysis and interpretation. Then, prompts are forwarded to the GPT language model for a response.

According to Microsoft, Copilot introduces an entirely new way of working, supporting users in two fundamental ways. First, the solution will be embedded into all the Microsoft 365 productivity apps users leverage daily. You can access Copilot in Dynamics 365, Word, PowerPoint, and Microsoft Teams.

Secondly, Copilot will also be implemented into the new Microsoft “Business Chat” service, or “Bing Chat.” This gives users an assistant to manage calendars, find information, and create emails, documents, and meeting agendas.

Microsoft notes the user remains in complete control when accessing the service, choosing what information they want to leverage, modify, or discard. The idea behind the service is to make people more efficient and creative in any business environment.

Is Microsoft Copilot Free? The Full Costs

So, is Microsoft Copilot free? Simply put, no.

A few months after announcing Copilot, Microsoft finally decided to give its solution a price tag. On July 18th, the first day of the annual Inspire partner show, officials revealed Copilot would cost $30 per user per month.

Notably, that’s an add-on cost to your existing Microsoft 365 subscription. You’ll still need to pay a monthly price for your entire Microsoft ecosystem, with access to Office and Microsoft Teams. Copilot will be available for Microsoft’s Business Standard and Business Premium, E3, and E5 packages.

In other words, to access the full service, you’re likely to pay at least $45 per month (with a $15 per month per user Microsoft Business Standard package). This also doesn’t include any extra fees you might be paying for Microsoft Phone services or Teams Premium.

The good news? While the answer to “Is Microsoft Copilot Free” is “No,” there are aspects of the service you might be able to access for free if you have a Microsoft account.

Bing Chat Enterprise, the AI-powered chat solution with commercial data protection, will be available at no extra cost to some users. It comes as standard in Microsoft 365 E3 and E5, as well as Business Premium and Business Standard packages.

Plus, if you want to access Bing Chat Enterprise on its own (without any other services), you can buy it for $5 per month per user in the future.

Is Microsoft Copilot Expensive?

Unfortunately, for customers excited about the potential of generative AI, not only is the answer to “Is Microsoft Copilot free?” a resounding “no,” but the service is also quite expensive. At $30 per user per month, the service costs almost as much as a Microsoft 365 E3 license ($36 per month per user).

This could mean investing in Copilot doubles your investment in your Microsoft ecosystem.

But as any business owner knows, when investing in new technology, it’s worth looking at the return on investment, not just the initial cost. Compared to other high-powered generative AI platforms, Copilot’s pricing is pretty reasonable.

Even OpenAI costs around $20 per month for full access. As Microsoft notes themselves, Copilot isn’t just a one-trick pony. While some generative AI tools focus on single tasks, like copywriting or transcription, Copilot can accomplish much more.

It puts thousands of skills at the fingertips of users and takes full advantage of contextual data from Microsoft Graph. Copilot can do everything from enhancing the quality of your meetings to summarizing calls. It can analyze data in Excel, design presentations in PowerPoint, or triage your Outlook inbox.

What Can Companies Do with Microsoft Copilot?

Thanks to its investment in Open AI, the company behind the famous ChatGPT service, Microsoft is doing big things with Copilot. The company has positioned itself on the front lines of the generative AI revolution. It’s rolling out new functionality and solutions on an almost constant basis.

The company has already begun implementing large language models into various tools, ranging from the Viva employee engagement toolkit to Microsoft Bing for search. Microsoft Copilot can even be embedded into Microsoft Teams chat and phone calls.

Already, the functionality includes solutions for:

Microsoft Word:

In Microsoft Word, Copilot can write content, edit pre-written pieces, and summarise important statements using artificial intelligence. Users can adjust the content produced by the tool to reflect their personal style or tone.

PowerPoint:

With Copilot in PowerPoint, users can create sample presentations using basic information and stock images from their computer. The solution can automatically transform simple ideas into a step-by-step presentation with speaker notes and citations.

Excel:

In Microsoft Excel, users can leverage Copilot to access new insights from data, spot patterns, and create more effective spreadsheets. Copilot reduces the need for employees to learn and use complicated formulas and simplifies data analysis.

Teams:

For users of Microsoft Teams, Copilot offers a way to make meetings more productive and efficient. The solution can create real-time summaries and display action items for follow-up conversations, all while considering the context of a conversation.

Teams Phone:

Copilot for Teams doesn’t just work to boost the quality of your chat conversations. It can also generate summaries of phone conversations and capture action items. Copilot can highlight critical points in calls, recommend next-best action steps based on discussions, and more.

Outlook:

For email users on Microsoft Outlook, Copilot can assist with organizing and consolidating an inbox. The solution can help suggest email responses and even provide condensed overviews of all the messages in a thread.

Power Platform:

In Microsoft Power Platform, Copilot will assist developers with varying skills to prototype and develop low-code applications. Copilot can improve developer productivity and provide insights into how to improve the performance of code.

Business Chat:

Copilot will curate data from across various documents, calendars, notes, presentations, and contact profiles in the new Microsoft Business Chat service. This helps to summarise chats, find critical dates, write business plans, and develop emails.

Microsoft Sales Copilot

Microsoft also introduced Microsoft Sales Copilot, and at the same time, it revealed the price of the service. This role-based copilot saves users time with CRM task automation and AI-powered insights. It can also identify top sales opportunities automatically.

Is Microsoft Copilot Worth It?

Now you know the answer to “Is Microsoft Copilot free?” your next question is probably, “Is it worth it?” Copilot is a pretty expensive investment for business users. However, its wide range of functionality delivers some serious value.

Microsoft plowed billions into its OpenAI partnership to create one of the most comprehensive intelligent assistants on the market. As Copilot functionality continues to appear in more parts of the Microsoft ecosystem, from Loop to Dynamics, its potential is increasing.

You might pay a premium for access to generative AI tools from Microsoft. However, the value you get back regarding efficiency, productivity, and creativity could be worth the cost.

 



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