Microsoft 365 Copilot

Microsoft 365 Copilot is Microsoft's AI assistant for work, built into Word, Excel, PowerPoint, Outlook, Teams and OneNote and available in the Microsoft Copilot app on web, desktop and mobile. Microsoft's documentation now calls the app Microsoft Copilot, while the plans are still sold as Microsoft 365 Copilot. It grounds answers in an organization's own emails, files, meetings and chats through Work IQ, part of what Microsoft calls Microsoft IQ, and only shows content a user already has permission to see. Agent Mode in Word, Excel and PowerPoint plans and carries out multi-step edits inside the file, and prebuilt agents include Researcher, Analyst and Facilitator. On September 25, 2026 Microsoft introduced the new Copilot. Home brings Chat and Cowork together: Chat answers quick questions, and Cowork takes a delegated task and runs it end to end to return a finished result such as an RFP response or a customer briefing. Office in Copilot creates or updates real Word, Excel and PowerPoint files from the conversation. Code lets anyone describe an app, tracker, dashboard or workflow and have Copilot build it, on the same underlying technology as GitHub Copilot. Autopilot is a persistent agent that keeps working on a goal without waiting for a prompt. Home and Code roll out first through Microsoft's Frontier program, and Autopilot is in private preview. Copilot routes each request through Auto, which weighs accuracy, speed and cost to pick a model, and users can also choose a model themselves. Models come from OpenAI and Anthropic. Microsoft names GPT-5.6 and Claude Sonnet 5 as included in the user license, with Claude Opus 5 included within usage limits. Copilot connects to outside data through Copilot connectors, including federated connectors that use the Model Context Protocol (MCP) to read third-party sources in real time without indexing them. Fabric IQ brings Power BI semantic models into Chat and Cowork. Organizations can build their own agents with Agent Builder and extend them in Microsoft Copilot Studio. Pricing combines a per-user license with usage-based billing. Microsoft 365 Copilot Business is an add-on for Microsoft 365 Business plans of up to 300 users. It lists at $21 per user per month paid yearly or $25.20 paid monthly, and a first-year promotional price of $18 per user per month on annual plans runs to December 31, 2026. Microsoft also sells Business Standard with Copilot at $23.50 and Business Premium with Copilot at $32 per user per month, paid yearly. Microsoft 365 Copilot for enterprise is $30 per user per month paid yearly and requires a qualifying Microsoft 365 plan. Microsoft 365 E7, at $99 per user per month, includes it alongside Agent 365, Microsoft Entra Suite and Microsoft 365 E5. Copilot Chat is included at no extra cost with eligible Microsoft 365 subscriptions. Cowork, Code, Autopilot and frontier models run on Copilot Credits, and for enterprise customers this usage stays off until an admin sets a spending policy. Business plans offer a one-month free trial with a credit card. Microsoft states that prompts, responses and data accessed through Microsoft Graph are not used to train foundation models. Copilot follows the privacy and compliance commitments of Microsoft 365, including GDPR and the EU Data Boundary, and Microsoft names ISO 27001, ISO 42001 and HIPAA for Copilot. Microsoft lists Copilot among its FedRAMP services in its US government clouds. Published customer stories include DLA Piper and DWF in law, Oxford University Hospitals in healthcare, Hargreaves Lansdown in financial services, Four Agency in marketing and Cactus Life Sciences in life sciences communication. Microsoft 365 Copilot fits organizations that already run on Microsoft 365 and want AI inside the apps and data they use every day. For delegated multi-step work inside Microsoft 365, Microsoft Copilot Cowork is listed separately. Teams whose work lives mainly outside Microsoft 365 can compare Claude Cowork and ChatGPT Work, and teams that organize work in a project tool can look at ClickUp Brain or Atlassian Rovo. Current state Q4 2026: Microsoft introduced the new Copilot with Home, Code and Autopilot on September 25, 2026, renamed the Microsoft 365 Copilot app to Microsoft Copilot, and moved Cowork, Code and Autopilot onto usage-based Copilot Credits alongside the per-user license. The $18 Business promotional price applies to the first year of annual plans bought by December 31, 2026.