Microsoft introduces a consumption-based 365 Copilot Chat option for corporate users.

• The frequency and type of work performed by employees using Microsoft 365 Copilot Chat will determine the cost that organizations will incur for this service from Microsoft.
• Corporate workers can use Copilot Chat to obtain answers to questions by accessing information from uploaded files and the internet. Additionally, individuals can create and interact with agents that perform tasks on their behalf.
• The Microsoft 365 Copilot app, previously known as Microsoft 365 (Office), offers the service.

Microsoft 365 Copilot Chat, a new tier of its Copilot assistant for corporate users, is now available with a consumption-based pricing model. This option is an alternative to the existing Microsoft 365 Copilot, which organizations have been able to pay for based on the number of employees with access to it.

Microsoft is making an effort to promote generative artificial intelligence software in the workplace. Despite being available for $30 per person per month since November 2023, the Microsoft 365 Copilot has not been well received by some analysts who characterized the product push as "slow/underwhelming."

Microsoft 365 Copilot can be accessed through Copilot Chat, which has a lower entry barrier, according to Jared Spataro, Microsoft's chief marketing officer for AI at work, in a CNBC interview this week. Both offerings use artificial intelligence models from Microsoft-backed OpenAI.

Copilot Chat can retrieve information from the internet and condense text in uploaded documents, and users can develop agents that execute tasks in the background. It can enhance responses with data from customers' files and external sources.

Copilot Chat is not available in Office applications such as Word and Excel, but can be accessed starting today through the Microsoft 365 Copilot app for Windows, Android, and iOS. The app, formerly known as Microsoft 365 (Office), can also be accessed from the web at m365copilot.com.

Some management teams have resisted paying Microsoft for the 365 Copilot for thousands of employees because they were unsure of its usefulness at the $30 monthly price. However, the Copilot Chat's costs will vary based on employee usage, and organizations won't have to pay for non-use.

"One customer remarked to me that this model demonstrates the business value," Spataro stated.

Microsoft charges for Copilot Chat based on the number of "messages" used by clients. Each "message" costs a penny, according to a blog post. Responses that use proprietary files cost 30 "messages" each, while every action an agent takes on behalf of employees costs 25 "messages."

Spataro stated that getting started is easy with amounts like a cent, 2 cents, and 30 cents.

Its Agentforce AI chat service allows employees to automate sales and customer service processes for a fee of $2 per conversation.

The number of people using Microsoft 365 Copilot has more than doubled quarter over quarter, according to CEO Satya Nadella, although he did not disclose the exact number of users. However, sign-ups have been increasing, with UBS reporting 50,000 licenses in October and Accenture committing to having 200,000 users of the tool in November.

Microsoft's partnership with OpenAI has been highly beneficial for both companies.