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Microsoft integrates Copilot AI into 365 suite, raises subscription prices

by January 16, 2025
written by January 16, 2025

Investing.com — Microsoft (NASDAQ:MSFT) announced on Thursday that it has added Copilot AI features to its Microsoft 365 suite for individual users. This move comes a day after the company introduced on-demand AI agents for businesses.

The tech giant is providing its customers with two options: a Microsoft 365 subscription plan with Copilot AI features or a plan without these features. In addition to this, the price for subscription plans in the U.S. will rise by $3.

Copilot is designed to aid users across various apps in the Microsoft 365 suite, including Word, PowerPoint, Excel, Outlook, OneNote, and Designer. The usage of Copilot AI, however, will be limited by monthly credits, an amount Microsoft believes will be sufficient for most users.

Microsoft is also allowing users to turn off Copilot in situations where AI assistance isn’t needed, such as during academic tests and submissions. The company assured that prompts entered by users will not be used to train its AI models.

Microsoft’s decision to incorporate AI into its suite comes amidst pressure to demonstrate the payoff of its substantial investment in AI. This includes its investment in OpenAI and plans to spend about $80 billion on data centers and AI infrastructure in the current fiscal year.

The integration of Copilot AI follows skepticism about its usage. A Gartner (NYSE:IT) report last year expressed doubts about its adoption, prompting Microsoft to promote its uptake more aggressively.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

This post appeared first on investing.com
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