Pay only as you go. Microsoft introduces a new strategy for its business Copilot service
Microsoft has announced the launch of a new plan called "Copilot Chat" for its corporate customers, and this plan is based on a pay-per-use model.
The plan includes many of the AI-powered features of Microsoft 365, but it doesn't include all of its current features.
The Copilot Chat plan is based on OpenAI's GPT-4o model and allows users to perform a range of tasks, such as answering business-related questions, automating tasks, and generating images with artificial intelligence.
These features come as part of Microsoft 365 Copilot, an extension of Microsoft's AI platform for businesses.
Unlike the traditional Microsoft 365 Copilot subscription that costs $30 per user per month, the new plan offers greater flexibility by paying as you go.
“Copilot Chat is a powerful starting point for building the habit of using AI within organizations,” Microsoft said in a blog post.
The plan allows users to summarize files, create working documents, and collaborate with team members using built-in tools like Pages.
Microsoft highlights the benefits of automation, as users can use “Agents” to perform basic tasks, such as providing account details before meetings or sending instructions to workers in the field.
IT administrators can design and manage custom agents for the enterprise, controlling their permissions and ensuring their security, and the agents will be priced based on usage, but Microsoft has not yet disclosed pricing details.
The Copilot Chat plan doesn't include some of the advanced features found in Microsoft 365 Copilot, such as built-in agents by default and custom capabilities for Microsoft Office applications, and it lacks analytics tools like Copilot Analytics that measure AI usage across a company.
This move comes as part of Microsoft's efforts to attract more customers to subscribe to Microsoft 365 Copilot while providing flexible options for customers with less complex needs.
However, the service faces challenges. Copilot has reportedly not been a big hit with large enterprises, with some organizations finding it inefficient, expensive, and insecure. A Gartner survey found that only 3.3% of IT leaders found the service added significant value to their businesses.