Microsoft has relaunched its AI-powered Copilot service for businesses under the name Microsoft 365 Copilot Chat.
This free tool is designed to make AI accessible at work while encouraging users to upgrade to the full Microsoft 365 Copilot experience, which costs $30 per user per month.
According to Jared Spataro, Microsoft’s Chief Marketing Officer for AI, the free version offers secure and GPT-powered AI chat that can upload and analyze files, making it a strong competitor to tools like ChatGPT and Google’s Gemini.
The revamped Copilot Chat includes access to AI agents, which were previously only available in the full Microsoft 365 Copilot.
These agents act as virtual assistants capable of handling tasks such as monitoring emails, automating workflows, and managing data. Users can create customized agents using Copilot Studio and choose whether these agents rely on web data or internal work data via Microsoft Graph.
Agent usage comes with a flexible pricing model. Businesses can either opt for pay-as-you-go plans or purchase consumption packs.
Pay-as-you-go operates like an open tab, while consumption packs provide fixed usage limits. Microsoft measures usage in messages, with standard responses counting as one message, generative answers as two, and interactions involving Microsoft Graph data, such as accessing SharePoint files, as 30 messages.
The aim of Copilot Chat is to familiarize businesses with AI technology while offering a clear path to advanced features through paid subscriptions.
Microsoft has also implemented pricing controls to ensure businesses can manage costs effectively, addressing concerns about unexpected expenses.
This update positions Microsoft as a major player in the growing market for AI-driven workplace tools. By combining free access to powerful AI features with a flexible pricing model for advanced tools, Microsoft seeks to enhance productivity and solidify its presence in the AI business solutions sector.
