Microsoft Copilot
Microsoft Copilot is an AI-powered assistant sold by Microsoft (NASDAQ: MSFT) as a per-seat add-on to Microsoft 365, helping enterprises and consumers draft, summarize, analyze, and automate work across Word, Excel, PowerPoint, Outlook, and Teams.
- Company typePublic
- Founded1975
- HeadquartersRedmond, United States
- Headcount—
- GTM typeB2B and B2C
- OfferingSoftware
What Microsoft Copilot does
Microsoft Copilot is an AI-powered productivity assistant operated by Microsoft Corporation (NASDAQ: MSFT) and embedded across the Microsoft 365 suite — Word, Excel, PowerPoint, Outlook, Teams, OneNote, and OneDrive — along with adjacent consumer surfaces. It is built on Microsoft's foundation models and the Microsoft Graph data layer, enabling context-aware drafting, summarization, content generation, data analysis, knowledge retrieval, and multi-step workflow execution across an organization's documents, emails, and calendars. The product family spans free Copilot Chat, consumer/SMB Microsoft 365 Premium at $19.99/month, the enterprise Microsoft 365 Copilot add-on at $30/user/month, the new E7 Frontier Suite at $99/user/month, and Copilot Studio for custom AI agent development with credit-based consumption billing.
The business model is a per-seat subscription add-on to qualifying Microsoft 365 base licenses, plus a usage-based layer for Copilot Studio agents. Go-to-market leverages Microsoft's enterprise field sales organization, Cloud Solution Provider channel, and in-product M365 promotion, targeting large enterprises, healthcare providers, government bodies, IT services firms, and SMBs. Customers include 90%+ of the Fortune 500, NHS England (505,000 staff), Infosys, TCS, and Wipro (collectively 300,000+ seats), with 20+ million paid seats disclosed against a 450+ million commercial M365 installed base. Customer outcomes cited include 14-26 minutes saved per user per day, a 116% ROI per Forrester, and $19.7M NPV per composite organization, though only 35.8% of licensed employees actively use the tool and 30-40% of paid seats go unused.
Microsoft Copilot firmographics
Firmographics- Name
- Microsoft Copilot
- Legal name
- Microsoft Corporation
- Website
- https://microsoft.com
- Company type
- Public
- Founded year
- 1975
- Operating status
- Operating
- Short description
- Microsoft Copilot is an AI-powered assistant sold by Microsoft (NASDAQ: MSFT) as a per-seat add-on to Microsoft 365, helping enterprises and consumers draft, summarize, analyze, and automate work across Word, Excel, PowerPoint, Outlook, and Teams.
- Ownership category
- akta.pro rank
Microsoft Copilot industry classification
Industry- Product category
- Enterprise AI Productivity Software
- NAICS
- Software Publishers (513210), Computer Systems Design and Related Services (54151), Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services (518)
- SIC
- Services-Computer Programming, Data Processing, Etc. (7370), Services-Computer Integrated Systems Design (7373)
- akta.pro primary industry
- Generative AI & LLM Solutions Services (RAG, Agents, Copilots) (BPAEAHAG)
- akta.pro secondary industries
- MLOps/LLMOps & Model Lifecycle Management Services (BPAEAHAH), Model Development & Training Platforms (AutoML, Notebooks, Feature Stores) (HDAEANAB), AI/ML Solution Integration & MLOps Enablement (BPAEAAAJ)
Keywords
Where Microsoft Copilot is headquartered
LocationHeadquarters
- HQ city
- Redmond
- HQ country
- United States
- HQ region
- North America
Offices1 record
Markets served
Microsoft Copilot business model
Business model- GTM type
- B2B and B2C
- Offering type
- Software
- Cost components
- Technology or R&D, Personnel, Infrastructure, Marketing or Sales, Operations
Revenue model
- Microsoft 365 Copilot Add-on Subscription: Per-user monthly subscription add-on to qualifying Microsoft 365 base licenses (E3, E5, Business Standard, Business Premium). Adds $30/user/month to existing M365 subscription costs, representing 40-100% increase depending on existing plan tier.
- Microsoft 365 Premium: Replacement for standalone Copilot Pro at $19.99/month, bundling Copilot capabilities with Microsoft 365 subscription for consumers and small businesses.
- Microsoft 365 E7 Frontier Suite: New enterprise tier at $99/user/month, representing premium pricing for advanced AI capabilities and frontier features.
- Copilot Studio Credit-Based Consumption: Credit-based consumption billing for deploying custom agents built with Copilot Studio, separate from base Copilot license.
- Agentic AI Services: Revenue from agentic AI services as alternative monetization strategy, with 160,000 organizations creating over 400,000 custom agents via Copilot Studio in Q1 FY2026.
Pricing tiers
| Model | Billing | Price |
|---|---|---|
| Subscription | Monthly | Microsoft 365 Copilot add-on for enterprise |
| Subscription | Monthly | Microsoft 365 Premium (replaced Copilot Pro) |
| Subscription | Monthly | Microsoft 365 E7 Frontier Suite |
| Usage-based | Pay-as-you-go | Copilot Studio custom agents |
Go-to-market motion3 records
Distribution channels4 records
Marketing channels6 records
Microsoft Copilot product offering
Product offeringCore offering
Microsoft Copilot is an AI-powered assistant embedded across the Microsoft 365 ecosystem that leverages large language models to automate drafting, summarization, data analysis, meeting management, and multi-step workflows within Word, Excel, PowerPoint, Outlook, Teams, and OneNote. It is sold primarily as a $30/user/month add-on subscription to qualifying Microsoft 365 enterprise licenses, with consumer/SMB tiers available through Microsoft 365 Premium, and a separate Copilot Studio platform for building custom autonomous agents on a credit-based consumption model.
Product overview
Microsoft Copilot is an AI-powered productivity assistant offered as an integrated feature across Microsoft's product ecosystem. The flagship product, Microsoft 365 Copilot, is deeply integrated into Microsoft 365 applications (Word, Excel, PowerPoint, Outlook, Teams, OneDrive) and leverages Microsoft Graph for organizational data access. The product family includes free Copilot Chat, premium subscription tiers (Microsoft 365 Premium at $19.99/month, E7 Frontier Suite at $99/user/month), and Copilot Studio for building custom autonomous agents. Copilot uses large language models to automate repetitive office tasks, generate content, synthesize knowledge, and execute multi-step workflows, positioning it as a central AI layer across Microsoft's enterprise productivity stack.
Differentiator
Problem solved
Functional benefit
Brands
- Copilot Studio: Platform enabling organizations to create custom AI agents with credit-based consumption billing
- Microsoft 365 Copilot
- Copilot Pro
- Microsoft Copilot
Products and services
- Microsoft 365 Copilot AI-powered assistant integrated across Microsoft 365 applications including Word, Excel, PowerPoint, Outlook, Teams, and OneDrive, designed to automate repetitive office tasks, generate content, synthesize knowledge, and provide intelligent insights within the Microsoft 365 ecosystem. Sold as an enterprise add-on subscription.
- Microsoft Copilot Studio Platform for building custom AI agents with credit-based consumption billing, enabling organizations to create tailored AI workflows and autonomous agents for specialized business processes.
- Microsoft 365 Premium Consumer and small business subscription bundle that replaced Copilot Pro, providing AI-powered Copilot capabilities integrated with Microsoft 365 apps for individuals and SMBs at $19.99/month.
- Microsoft 365 E7 Frontier Suite Premium enterprise tier at $99/user/month providing advanced AI capabilities and frontier features for large organizations requiring comprehensive AI productivity tools.
- Copilot Chat Free conversational AI chat interface providing basic AI assistance without paid subscription requirements, available to general users as a freemium entry point to the Copilot family.
- Microsoft 365 Copilot AI Agents (Researcher and Analyst) Autonomous AI agents integrated into Microsoft Teams that can synthesize data, generate insights, and execute multi-step workflows across internal and third-party platforms. Described by CEO Satya Nadella as the biggest update since Teams launched.
Quantifiable outcome
- 14-26 minutes saved per day per user
- +4 more outcomes
Companies that use Microsoft Copilot
Customer profileNamed customers6 records
Segments5 records
Ideal customer profiles3 records
Microsoft Copilot technology and API
TechnologyTechnology focussed Yes
API detail
- Has API
- No
- API docs
- API detail
Core technology
AI maturity
App detail
AI capability9 records
Feature5 records
Microsoft Copilot partnerships and signals
Strategic signalPartnerships
Six partnerships are on record, tiered core, flagship and major.
- XerocoreXero has integrated Microsoft 365 Copilot into its JAX platform for small business finance, offering automated bookkeeping, compliance, document capture, bank reconciliation, and cash flow management. This integration reflects the broader trend of embedding AI into day-to-day accounting workflows.
- NHS EnglandflagshipNHS England is rolling out Microsoft 365 Copilot to 505,000 clinicians and support staff across healthcare services by October 2026. This follows the largest AI trial of its kind in global healthcare involving 30,000 NHS workers, with the AI tool saving staff an average of 43 minutes per day. The deployment covers administrative tasks including drafting letters, data analysis, discharge planning, rota management, and meeting administration.
- InfosysmajorIndian IT firm Infosys is rolling out Microsoft Copilot to over 100,000 employees as part of enterprise AI adoption initiative.
- TCS (Tata Consultancy Services)majorIndian IT firm TCS is rolling out Microsoft Copilot to over 100,000 employees as part of enterprise AI adoption initiative.
- WipromajorIndian IT firm Wipro is rolling out Microsoft Copilot to over 100,000 employees as part of enterprise AI adoption initiative.
- Anthropic ClaudecoreXero's expanded integrations include Anthropic's Claude alongside Microsoft 365 Copilot, providing multiple AI options for small business finance automation in the JAX platform.
Scale indicators14 records
Recent moves6 records
Expansion highlights6 records
Microsoft Copilot competitors and assessment
Company assessmentMarket position
Competitive moat5 records
Key risks5 records
Key highlights7 records
Customer concentration
Microsoft Copilot social profiles
Digital presenceMicrosoft Copilot financial estimates
Financial estimateRevenue estimate
Valuation estimate
Microsoft Copilot leadership team
Management profileNumber of profiles
Microsoft Copilot subsidiaries and ownership
Company hierarchySubsidiaries3 records
Microsoft Copilot funding detail
Funding detailFunding overview
Funding rounds
Investors
Funding detail is available on the Subscription and Enterprise plan.Contact sales →
Microsoft Copilot M&A and investment
M&A and investmentM&A
Investments
M&A and investment is available on the Subscription and Enterprise plan.Contact sales →
Frequently asked questions about Microsoft Copilot
What does Microsoft Copilot do?
Microsoft Copilot is an AI-powered assistant embedded across the Microsoft 365 ecosystem that leverages large language models to automate drafting, summarization, data analysis, meeting management, and multi-step workflows within Word, Excel, PowerPoint, Outlook, Teams, and OneNote. It is sold primarily as a $30/user/month add-on subscription to qualifying Microsoft 365 enterprise licenses, with consumer/SMB tiers available through Microsoft 365 Premium, and a separate Copilot Studio platform for building custom autonomous agents on a credit-based consumption model.
Is Microsoft Copilot a public or private company?
Microsoft Copilot is a public company. It is classified as public and is currently operating.
When was Microsoft Copilot founded?
Microsoft Copilot was founded in 1975.
Where is Microsoft Copilot based?
Microsoft Copilot is headquartered in Redmond, United States, in the North America region.
How does Microsoft Copilot make money?
Five revenue lines are on record. Microsoft 365 Copilot Add-on Subscription is the primary driver. The others are microsoft 365 Premium, microsoft 365 E7 Frontier Suite, copilot Studio Credit-Based Consumption and agentic AI Services.
Does Microsoft Copilot have an API?
No public API is recorded for Microsoft Copilot.
What industry is Microsoft Copilot in?
Microsoft Copilot's product category is Enterprise AI Productivity Software. Its primary akta.pro industry code is BPAEAHAG, Generative AI & LLM Solutions Services (RAG, Agents, Copilots), with a secondary code of BPAEAHAH, MLOps/LLMOps & Model Lifecycle Management Services. Its NAICS code is 513210 and its SIC code is 7370.