On July 18, Microsoft revealed that the monthly new Microsoft 365 Copilot will cost $30 per user.

A Steep Price for AI-Powered Productivity

Microsoft is launching its AI-powered productivity tool, Microsoft 365 Copilot, available to businesses for $30 per user per month. This is significantly higher than the average cost of the existing Microsoft 365 plans, which start at $36 per user per month.

For businesses that are already subscribed to Microsoft 365 E3, the additional $30 per user per month for Copilot will nearly double their costs. And for businesses that are subscribed to Microsoft 365 Business Standard, the additional charge will be almost three times their current monthly fees.

The high price of Microsoft 365 Copilot is likely to raise some eyebrows, especially among businesses that are already struggling with rising costs.

The Future of Office Documents?

Microsoft is overhauling its Office apps with its AI-powered Copilot service, which allows businesses to instantly summarize documents, generate emails, and speed up Excel analysis. Copilot is a powerful tool that has the potential to revolutionize the way we work with Office documents.

However, the cost of Copilot could be a barrier to adoption for some businesses. Copilot will be available for $30 per user per month, which is a significant premium over the cost of the existing Microsoft 365 plans.

Despite the high price, I believe that Copilot is a valuable addition to Microsoft 365. The tool can save businesses time and money, and it can help to improve the quality of their work.

In the short term, the cost of Copilot may put some businesses off from adopting it. However, I believe that the long-term benefits of the tool will outweigh the costs. As more businesses adopt Copilot, the price is likely to come down.

In addition to Microsoft, Google is also developing AI-powered features for its Workspace suite of productivity apps. This competition will likely drive down the price of AI-powered productivity tools in the future.

Overall, I believe that Microsoft 365 Copilot is a major step forward for Office documents. The tool is powerful, versatile, and affordable. I expect that Copilot will become a standard feature in Office documents in the years to come.

Why so pricey?

There are a few reasons for the high price of Microsoft 365 Copilot

First, Microsoft has invested heavily in the development of the tool. The company has partnered with OpenAI to create the large language model that powers Copilot, and it has also invested in the infrastructure needed to run the tool.

Second, the cost of AI-powered tools is still relatively high. The chips that power these tools are in high demand, and the cost of data storage and processing is also rising.
Finally, Microsoft is likely hoping to recoup some of its investment in Copilot through the high price of the tool. The company is also likely trying to position Copilot as a premium product that businesses will be willing to pay for.

Despite the high price, Microsoft 365 Copilot could be a valuable tool for businesses that are looking to improve their productivity. The tool can help businesses to automate tasks, generate content, and improve their writing. This can free up employees to focus on more strategic work, and it can also help businesses to produce higher-quality work.

Other announcements from Microsoft

In addition to announcing the pricing for Microsoft 365 Copilot, Microsoft also announced two other new products: Bing Chat Enterprise and Microsoft Teams Copilot.
Bing Chat Enterprise is a commercial version of the Bing Chat app that is available to consumers. Bing Chat Enterprise includes added security and privacy features that are designed for businesses. The app is available now as a preview for Microsoft 365 E3, E5, Business Standard, and Business Premium customers.

Microsoft Teams Copilot is a new feature for Microsoft Teams that integrates Copilot with the Teams phone calling experience and Teams Chat threads. The feature allows users to ask Copilot for help with tasks such as writing emails, summarizing documents, and generating code. Microsoft Teams Copilot is available now as a preview for Microsoft 365 E3, E5, Business Standard, and Business Premium customers.

These new products from Microsoft show the company’s continued commitment to AI-powered productivity tools. It will be interesting to see how these tools are adopted by businesses in the future.