Comparison of Copilot Chat and Copilot for Microsoft 365

Microsoft offers two AI-driven productivity tools for daily work: Copilot Chat and Copilot for Microsoft 365. Both are engineered to enhance productivity and streamline workflows, yet they serve different purposes and offer unique functionalities. This article will compare Copilot Chat and Copilot for Microsoft 365, highlighting their key features and use cases to help users select the appropriate tool.

Copilot Chat: Conversational AI Interface

Copilot Chat is a sophisticated chat-based interface that leverages the advanced capabilities of GPT-4o to assist users through intuitive and natural conversational interactions. This tool is designed to be highly versatile, catering to various tasks that can significantly enhance productivity and efficiency. Whether you are conducting market research, drafting strategy documents, or preparing for important meetings, Copilot Chat provides the necessary support to streamline these processes. Conversationally engaging with users simplifies complex tasks and offers intelligent insights, making it an invaluable asset for professionals seeking to optimize their workflow and achieve better outcomes.

You can start by visiting the m365copilot.com website.

Key technical features include:

• Web-Grounded Chat: This system employs GPT-4o to provide information, answer queries, and assist with tasks. It can support market research, draft strategy documents, and prepare for meetings.
• Document Handling: This feature allows users to upload documents for summarization, analysis, or improvement suggestions. It is particularly useful for extracting key points from extensive documents.
• Automation Agents: This feature enables the creation of agents to automate repetitive tasks and business processes directly within the chat interface. For instance, a customer service representative can use an agent to retrieve account details prior to a meeting. You can create these agents declaratively without the need to write code. There are two ways to do this: first, use Copilot Studio, and second, use the integrated interface in the chat.

You can find a short introduction to that topic in my article on declarative agents here and in articles coming out in the next few days.

Copilot for Microsoft 365: Integrated AI Assistant

Copilot for Microsoft 365 is an AI assistant integrated into Microsoft 365 applications, designed to enhance productivity and collaboration across various platforms such as Word, Excel, PowerPoint, and Outlook.

Key technical features include:

• Application Integration: Seamlessly integrates with Microsoft 365 applications, assisting with tasks such as drafting emails, creating presentations, and data analysis.
• Customizable Role-Based Agents: These agents can be tailored to automate and enhance business processes across different roles and departments, facilitating workflow management and efficiency improvements.
• Enterprise-Grade Security: Inherits the data policies established within Microsoft 365, ensuring secure and compliant AI usage.
• Data Integration: This feature allows users to integrate additional data sources to enhance the AI assistant’s capabilities, enabling more comprehensive insights and recommendations.
• Task Automation: Automates repetitive tasks and provides intelligent suggestions to streamline workflows and improve productivity.

You can find a short introduction to that topic in my article on declarative agents here and in articles coming out in the next few days.

Full view of the comparison

source: Microsoft

Costs

While Copilot Chat is available as a standalone service with pay-per-use extensibility, Copilot for Microsoft 365 is a paid add-on in Microsoft 365 subscriptions. Users can access Copilot Chat through a web interface, while Copilot for Microsoft 365 is integrated directly into Microsoft 365 applications.

The usage of agents within Copilot Studio is quantified in terms of “messages.” The cumulative number of messages utilized determines an organization’s total cost. Organizations have the flexibility to manage their expenses through two primary purchasing options available in the Copilot Studio meter within Microsoft Azure.

The first option is a pay-as-you-go model, where messages are billed at $0.01 per message. This model allows for scalable usage without requiring upfront commitments, making it suitable for organizations with variable or unpredictable message volumes.

Alternatively, organizations can opt for pre-paid message packs, which offer a more predictable and potentially cost-effective solution. These packs are priced at $200 for a bundle of 25,000 messages per month. This option is ideal for organizations with consistent or high-volume message usage, providing a straightforward way to manage and budget for their AI-driven productivity tools.

Organizations can effectively control their costs by choosing the appropriate purchasing option while leveraging Copilot Studio’s powerful capabilities to enhance their workflows and productivity.

Selecting the Appropriate Tool

While both tools are designed to enhance productivity, they cater to different user needs. Copilot Chat is ideal for users who prefer a conversational interface and require assistance with a wide range of tasks through chat. Conversely, Copilot for Microsoft 365 is suited for those who seek an integrated AI assistant within their Microsoft 365 applications to streamline daily workflows. With both tools, users can leverage AI to achieve more efficiently and effectively in their work environments and integrate additional data sources to enhance their capabilities.

There is no need to choose between the two tools for all users. Based on your users’ persona, you can start with Copilot Chat and give some later information on the whole experience of Copilot for Microsoft 365. By combining the strengths of both tools, organizations can optimize their workflows and achieve better outcomes by maintaining the costs.

Conclusion

In conclusion, both Copilot Chat and Copilot for Microsoft 365 offer powerful AI-driven productivity enhancements tailored to different user needs. Copilot Chat provides conversational assistance and task automation through an intuitive chat interface, making it ideal for users who require versatile support across various tasks. It comes free with a pay-as-you-go extensibility model. On the other hand, Copilot for Microsoft 365 integrates seamlessly with Microsoft 365 applications, offering robust productivity features and automation directly within familiar tools like Word, Excel, PowerPoint, and Outlook. By understanding each tool’s unique capabilities and use cases, users can select the most appropriate solution to optimize their workflows, enhance productivity, and achieve better outcomes in their professional environments.

Links

• Copilot Chat
• Learn about Copilot Studio
• Copilot Studio Agent Builder

generative AI transparency note: Utilizing AI-supervised content allows me to expand the material for my scenarios. It enables me to offer a broader range of examples across various programming languages, delve into solutions with more depth, and address new scenarios more swiftly. As a non-native speaker, it enables me to write in proper English and avoid grammatical and orthographic mistakes. I use Github Copilot and grammarly to support me in this task.