Microsoft Announces Availability of CoPilot Assistant tools
By Jim Lundy
Microsoft Announces Availability of CoPilot Assistant Tools
This past week saw the beginning of the rollout of pricing for Generative AI Copilot offerings from both Microsoft and Salesforce. For Microsoft, pricing is higher than expected. For Salesforce, their approach actually makes sense. This blog discusses the Microsoft pricing for its GenAI CoPilots.
CoPilot Pricing for Microsoft 365
Microsoft announced the availability of CoPilot for Microsoft 365 this week. It is available at $30 per user per month for:
- Microsoft 365 Business Standard
- Microsoft 365 Business Premium
- Microsoft 365 E3
- Microsoft 365 E5
It is not available for Microsoft Office 365 E3 and E5 and we will discuss this looming issue in a separate First Cut. So, it means that if you have Office 365 E3 at $23 a month, you need to migrate to Microsoft 365 E3 (11 dollars more than Office 365 E3) and then you can purchase CoPilot at $30 per user per month.
Microsoft Pricing – Too High?
We have had a few reactions. One client said that they would probably wait before they buy. Since it is between a 100-200% increase over what enterprises are paying, we think that will lead to slowed adoption. Leading enterprises will just buy it. Conservative enterprises will probably wait.
My POV? Since organizations pay a lot for tools for Sales CRM and Contact Center productivity, an extra 30 dollars for key knowledge workers is not that much.
Microsoft fired the first salvo for Office Copilots based on GPT. We expect most leading enterprises to adopt these copilot tools and there is strong enthusiasm for the productivity opportunity that these copilot offerings represent. Enterprises still need to have usage policies for rolling these out and that’s something to discuss with Aragon analysts.
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This blog is a part of the Digital Workplace blog series by Aragon Research’s CEO, Jim Lundy.