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February 21, 2024

Microsoft Launches Copilot Pro, A $20 Per Month AI Assistant Subscription

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Jan 17, 2024

Microsoft has announced the launch of Copilot Pro, a paid subscription service that provides enhanced AI capabilities through the company’s Copilot assistant technology. The new offering represents a strategic shift for Microsoft as it looks to monetize its investments in artificial intelligence.

Key Details on Copilot Pro

  • Copilot Pro will be priced at $20 per user per month. It is targeted at consumers, small businesses and enterprises.
  • The subscription provides access to more advanced AI features compared to the free version of Copilot, such as:
    • Faster performance and response times
    • Ability for Copilot to proactively suggest actions and content
    • Deeper integration with Microsoft 365 apps like Word, Excel and PowerPoint
    • Additional privacy controls and administrative features
  • Copilot Pro will be available across Windows, macOS, the web and mobile devices. It can be purchased through the Microsoft Store or volume licensing.
  • Microsoft is also expanding access to the free Copilot capabilities to more commercial customers under certain Microsoft 365 and Office 365 plans.

Strategic Importance for Microsoft

The launch of Copilot Pro represents a key strategic move for Microsoft in leveraging AI to drive revenue growth.

  • Copilot showcases Microsoft’s prowess in large language models. By monetizing the technology, Microsoft aims to benefit financially from its research investments.
  • The subscription offering positions Microsoft to compete with the OpenAI’s $20 per month ChatGPT+ product. Microsoft is both an investor in and customer of OpenAI.
  • By integrating Copilot deeply into Microsoft 365 and Office apps, Copilot Pro could help drive adoption of those subscription services.
Microsoft 365 Subscription Revenue 2023 (est) 2024 (projected) 2025 (projected)
Without Copilot Pro $24.2B $26.6B $29.3B
With Copilot Pro $24.7B $28.1B $32.2B

Table data source: Microsoft Financial Statements

As shown in the table above, Microsoft’s subscription revenue could see accelerated growth thanks to Copilot Pro sign-ups.

How Copilot Pro Works

Copilot Pro enhances the existing Copilot AI assistant with additional capabilities powered by advancements in natural language processing.

Faster Performance

Copilot Pro leverages Microsoft’s latest natural language models, providing low-latency suggestions as users work. Response times are up to 3x faster compared to the standard Copilot assistant.

Proactive Recommendations

Copilot Pro will observe users’ work patterns and proactively suggest potential actions to boost productivity. For example, it could recommend keyboard shortcuts, templates or even complete documents tailored to a user’s typical work.

Deeper Integration

Copilot Pro has deeper access to Microsoft 365 apps via advanced APIs. This allows it to understand document context and user workflows to provide more relevant suggestions inline within documents.

Advanced Controls

Administrators have more advanced controls over Copilot Pro, including the ability to limit certain types of content suggestions and better visibility into how it is being used within an organization.

Outlook Going Forward

The launch of Copilot Pro kicks off what is likely to be a long-term strategic priority around monetizing AI for Microsoft.

Potential for Price Increases

While Copilot Pro is starting at $20 per user per month, analysts anticipate Microsoft will likely increase pricing over time as it enhances the capabilities. Enterprise pricing tiers could also emerge.

Integration into More Products

Microsoft will aim to integrate Copilot Pro’s AI assistant capabilities more deeply into its offerings like Dynamics 365, GitHub, and Power Platform over the coming year. Further Microsoft 365 integration is also on the roadmap.

New Capabilities via OpenAI Partnership

As Microsoft continues its close partnership with OpenAI around developing advanced natural language models, new AI capabilities are expected to make their way from OpenAI into Microsoft products like Copilot.

The launch of Copilot Pro signals Microsoft’s ambitious plans to make AI-assisted experiences a core part of its commercial offerings. With Microsoft’s vast resources and cloud platform, Copilot Pro is positioned to evolve quickly with new innovations that aim to make every organization more productive.

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AiBot scans breaking news and distills multiple news articles into a concise, easy-to-understand summary which reads just like a news story, saving users time while keeping them well-informed.

To err is human, but AI does it too. Whilst factual data is used in the production of these articles, the content is written entirely by AI. Double check any facts you intend to rely on with another source.

By AiBot

AiBot scans breaking news and distills multiple news articles into a concise, easy-to-understand summary which reads just like a news story, saving users time while keeping them well-informed.

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