What is Copilot? Pricing and How to Use It Effectively

Copilot is not just a chatbot, but an intelligent assistant deeply integrated into familiar software like Windows, Office (Word, Excel, PowerPoint), Visual Studio Code, Edge, Teams, Bing, and more, to help you work faster, more creatively, and with fewer errors.

What is Copilot?

Currently, “Copilot” appears in many different Microsoft products. Here are the most common types to give you a clearer picture:

How Does Copilot Work?

1. The Core is Large AI Models (LLMs)

All Copilots run on Large Language Models from OpenAI and Microsoft:

• Free Copilot (copilot.microsoft.com) → uses GPT-4o or GPT-4.5 (depending on the time)
• Copilot Pro / Copilot for Microsoft 365 → uses GPT-4 Turbo, GPT-4o + smaller, custom-tuned models
• GitHub Copilot → used Codex → now GitHub Copilot X runs on GPT-4 + a custom code model
• Copilot in Excel, PowerPoint… → GPT-4 + many specialized small models further trained on Office data.

2. How it works (simplified)

When you type a question or command for Copilot, the system follows these steps (in just 1–3 seconds):

1. Receives your question → converts it to clean text
2. Adds “context”
   • If you are in Word → Copilot knows the content of the current document
   • If you are in Excel → it can read the entire data table
   • If using Copilot on the web → it can search Bing in real-time
3. Sends all this information to the GPT model (via Microsoft Azure API)
4. The GPT model thinks and generates a response
5. System performs a safety check (filters for harmful content, copyright, company secrets…)
6. Returns the result to you (as a chat, or by directly editing the Word/Excel file, writing code…)

3. There are 3 main operating modes

Microsoft divides Copilot into 3 styles (you can switch between them):

Practical Examples You’ll Find Immediately Useful

You open Word → type “Write October sales report” → Copilot writes the entire report, pulling data from Excel.

In Excel → select data → ask “What is the revenue trend for the last 3 quarters?” → it creates a chart + explanation.

In PowerPoint → just type the main points → Copilot creates a full, beautiful slide deck with auto-generated images.

In a Teams meeting → Copilot automatically takes notes, summarizes, and lists action items.

A developer types “Write a Node.js + JWT login API” → GitHub Copilot writes the complete code.

The Main Copilot Versions

Microsoft Copilot is a diverse AI ecosystem, not a single product, but a collection of versions designed for different needs: from personal, business, and programming to security. As of November 2025, Copilot has received a major update with the GPT-4.1 model as the default (replacing GPT-4o from October 27, 2025), integration of GPT-5 for complex tasks, and new features like Copilot Vision (image/video analysis), Think Deeper (deep reasoning based on o1), and Mico (an assistant character similar to the old Clippy, launched October 23, 2025). The main versions are based on licensing and integration, with significant differences in scope of use, data security, and cost. Below is a detailed analysis based on official Microsoft documentation and the latest updates.

1. Microsoft Copilot (Personal/Free Version)

• Description: The basic version, acting as a general AI assistant on the web/app, separated from Bing since October 1, 2024. It supports natural chat, image generation (DALL·E 3), and personalization via Memory (saves preferences, schedules from April 4, 2025).
• Key Features: Copilot Voice (natural voice, free from February 2025), Copilot Vision (screen/web analysis), Deep Research, and Shopping Assistant. Limitations: 15 image generation boosts/day; GPT-5 access during off-peak hours.
• Target Audience: Individuals, students for daily tasks (writing, searching, entertainment).
• Price: Free (via copilot.microsoft.com or the iOS/Android/macOS/Windows app).
• Pros/Cons: Easy to access, but not deeply integrated with work tools; not for sensitive data.

2. Copilot Pro

• Description: An upgrade to the personal version, integrated with Microsoft 365 Personal/Family/Premium, offering priority access to new models and experimental features via Copilot Labs (launched October 1, 2024).
• Key Features: Advanced content creation in Word/Excel/PowerPoint (e.g., automatic Excel data analysis), Actions (booking appointments, shopping through partners like Expedia), and Pages (a creative canvas). Supports unlimited GPT-5 mini, 300 premium requests/month.
• Target Audience: Individuals/freelancers needing AI support for basic creativity and productivity.
• Price: $20/month (approx. 500,000 VND), requires Microsoft 365 Personal/Family.
• Pros/Cons: Increased speed and accuracy compared to the free version (e.g., 2x faster responses), but lacks enterprise-grade security; limited to individuals.

3. Copilot for Microsoft 365 (Copilot 365)

• Description: The enterprise version, deeply embedded in Microsoft 365 apps, using internal data via Microsoft Graph. October 2025 update: Session persistence (continue conversations), agent recommendations, and ContextIQ (add data sources to prompts). E3/E5 distinction: E5 includes SharePoint Advanced Management (from early 2025).
• Key Features: Generate Word reports, analyze Excel data (data trends), create automatic PowerPoint slides, summarize Teams meetings (with 20 Interpreter hours/month from September 2025), and Copilot Chat for Business (free from early 2025). Supports GPT-5 router (automatically selects models for complex tasks).
• Target Audience: Businesses, office teams (Word, Excel, Outlook, Teams).
• Price: $30/user/month (requires Microsoft 365 E3/E5), with PAYG for SharePoint agents.
• Pros/Cons: High security (data is not used for AI training, GDPR/SOC compliant), but requires an M365 license; strong on productivity but less flexible outside the Microsoft ecosystem.

4. GitHub Copilot

• Description: Specialized for programming, using Codex/GPT-4o Coder (2025 update: Integrates GPT-5, Claude Sonnet 4/4.5, Gemini 2.5 Pro). Individual (Free/Pro/Pro+) vs Organizational (Business/Enterprise) versions.
• Key Features: Automatic code suggestions, chat agent (unlimited with Pro+), code review, and Codex IDE (VS Code/JetBrains). Enterprise: Codebase indexing, custom models, audit logs.
• Target Audience: Individual developers (Pro) or dev teams (Business/Enterprise).
• Price:
  • Free: $0 (limited to 50 requests/month).
  • Pro: $10/month; Pro+: $39/month.
  • Business/Enterprise: From $19/user/month (details vary by organization).
• Pros/Cons: Speeds up coding by 55% (according to 2025 benchmarks), IP indemnity (copyright protection), but performs better with popular languages (JS/Python); does not use data for training (retained for 28 days).

5. Copilot Studio

• Description: A tool for building custom Copilots (agents), with updates in 10/2025: GPT-4.1 by default, supports GPT-5, and Computer Use (UI automation).
• Key features: Create agents for WhatsApp, Power Fx prompts (date/time integration), and export/import solutions. Supports generative orchestration.
• Target audience: Large enterprises building in-house AI.
• Price: $200/month (30-day free trial).
• Pros/Cons: Highly flexible for customization, but complex; multi-channel integration (WhatsApp, Teams).

6. Microsoft Security Copilot

• Description: Specializes in security, uses AI to analyze threats, and complies with responsible AI.
• Key features: Log analysis, risk prediction, Defender/Sentinel integration.
• Target audience: Enterprise IT/Security teams.
• Price: Usage-based (integrates with Microsoft 365 E5).
• Pros/Cons: High security (FedRAMP/GDPR), but specialized; not for general productivity.

Detailed Comparison Table of the Main Copilot Versions

Superior Benefits of Using Copilot

Microsoft Copilot, an AI companion ecosystem deeply integrated into Microsoft 365, GitHub, and other tools, delivers superior benefits by transforming AI from a support tool into a true “intelligent colleague.” With the latest updates such as GPT-4.1 as the default (from 10/27/2025), GPT-5 support for deep reasoning, and features like custom agents on WhatsApp or session persistence, Copilot not only boosts productivity but also reduces costs, enhances security, and drives innovation. By 2025, 60% of Fortune 500 companies will use Copilot daily, helping employees save up to 54% of their time. Below is a detailed analysis of its superior benefits, based on data from Microsoft and real-world reports.

1. Boost Productivity and Work Efficiency (Productivity Boost)

• Automate Daily Tasks: Copilot helps draft emails, summarize documents, analyze Excel data, or create PowerPoint slides with just natural language commands, reducing time from weeks to days. For example, in Word, it summarizes complex scientific data tables, helping companies like Morula Health cut content creation time from weeks to days.
• Meeting and Schedule Support: In Teams, Copilot automatically takes notes, summarizes meetings (with 20 Interpreter hours/month), identifies action items, and searches for meeting schedules by organizer—ideal for sensitive meetings that don’t require permanent storage.
• Intelligent Data Analysis: In Excel, it detects revenue trends or compares IT devices; in Outlook, it automatically creates meeting schedules based on participant availability, supporting multi-turn refinements without losing context.
• Superior Benefits: According to Microsoft, Copilot users save 29% of their time on creative tasks, and 54% of employees use it daily, leading to business growth for SMBs.

2. Enhance Creativity and Collaboration (Enhanced Creativity & Collaboration)

• Create Personalized Content: Use DALL·E 3 to generate images or Claude AI (optional from 2025) for creative reasoning, helping to quickly create detailed job descriptions or marketing ideas.
• Team Collaboration: In Teams, analyze customer feedback to identify product trends (as PKSHA Technology does, reducing development time); supports a chat sidebar in Outlook for contextual discussions.
• Custom Agents: With Copilot Studio, build agents for WhatsApp or business processes, supporting file uploads and computer use (automating apps/web), delivering a rich interactive experience.
• Superior Benefits: Reduces misunderstandings by recognizing unique business language, improves meeting quality and creativity—surpassing general AI thanks to deep integration with Microsoft Graph.

3. Cost Savings and Resource Management (Cost Savings & Efficiency)

• Flexible Payment Model: PAYG (Pay-As-You-Go) allows for on-demand usage without a full license, with department-controlled budgets—ideal for SMBs.
• License Optimization: Copilot helps IT identify unused M365 licenses, adjusting allocation to reduce costs, while also tracking end-of-life Windows 10.
• Agent Management: Transfer agent ownership when an employee leaves, ensuring continuity without data loss.
• Superior Benefits: Microsoft is investing $80 billion in AI data centers in 2025, enabling Copilot to handle thousands of concurrent queries without bottlenecks, saving up to 50% in operational costs compared to manual tools.

4. Enhanced Security and Compliance (Improved Security & Compliance)

• Data Protection: Does not use user data to train AI, complies with GDPR/SOC/FedRAMP; Microsoft Purview helps track sensitive data within Copilot.
• Centralized Management: In the admin center, track usage metrics for Copilot Search and agent inventory (including SharePoint agents), with audit logs for GitHub Copilot Enterprise.
• Cybersecurity: Security Copilot analyzes threats via Defender/Sentinel, predicts risks, and compares devices to plan upgrades.
• Superior Benefits: Enhances accountability through agent reassignment and IP indemnity (protecting code copyright), helping businesses reduce security risks while fully leveraging AI.

5. Software Development and Innovation Support (Developer & Innovation Support)

• Accelerated Coding: GitHub Copilot provides automatic code suggestions, reviews, and test generation, supports multiple models (GPT-5, Claude Sonnet 4/4.5), and accelerates developer productivity by 55%.
• Multi-Channel Integration: Deploy agents on WhatsApp with phone number authentication, allowing for the exchange of images/attachments while maintaining governance.
• Superior Benefits: Allows for experimenting with new models (like GPT-5 Reasoning for complex problems), helping dev teams innovate faster, especially in enterprise environments.

Summary Table of Copilot’s Superior Benefits (Compared to Traditional Tools)

A-Z Guide to Using Copilot

Microsoft Copilot is Microsoft’s companion AI ecosystem, deeply integrated into familiar tools like Microsoft 365 (Word, Excel, Teams), GitHub, Windows, and more. With major updates in 2025 – including GPT-4.1 as the default model (from 10/27/2025), GPT-5 support for deep reasoning (Think Deeper), and new features like Copilot Notebooks (AI-powered notebooks in OneNote) and custom agents on WhatsApp – Copilot helps you increase productivity by up to 54% by automating tasks, analyzing data, and creating content. This guide is built from official Microsoft documentation (via Learn and Support) and 2025 update sources, helping you master Copilot from basic to advanced levels. We will follow an A-Z structure: Access, Basic, Configure, …, to Zenith (Optimization Tips).

A: Access – Accessing Copilot (Step 1: Getting Started)

1. Create an Account: Register for a free Microsoft account at account.microsoft.com if you don’t have one. For the business version, a Microsoft 365 E3/E5 license is required.
2. Choose a Version:
   • Free: Access copilot.microsoft.com or the Copilot app (iOS/Android/Windows/macOS).
   • Pro: Upgrade for $20/month via Microsoft 365 Personal/Family to integrate Office apps.
   • For Microsoft 365: $30/user/month, activate via the admin center if your company has M365.
   • GitHub Copilot: $10/month for individuals, install the extension in VS Code.
3. Download the App: Download from the App Store/Google Play or Microsoft Store. Activate with your Microsoft account.
4. Check for Updates: Ensure the app/Windows is updated to the latest version (unlimited GPT-5 mini support from 2025).

B: Basic Usage – Basic Usage (Chat and Content Creation)

1. Start Chatting: Open Copilot, type a prompt like “Summarize today’s AI news” or “Create an image of a futuristic city” (uses DALL·E 3, limited to 15 boosts/day on the free plan).
2. App Integration:
   • Word: Open Word > “Copilot” Tab > “Draft with Copilot” to write a report.
   • Excel: Select data > “Insert insights” to analyze trends.
   • PowerPoint: “Copilot” > “Create presentation from file” to automatically generate slides.
   • Teams: In a meeting, “Copilot” > “Take notes” to summarize and create action items (20 Interpreter hours/month).
3. Voice Mode: Press the microphone icon to talk naturally (Copilot Voice, free from 2/2025).

C: Configure – Configuration and Personalization (Customizing the AI)

1. Memory Feature: In settings, enable “Personalize with Memories” to let Copilot remember your preferences (from 4/4/2025).
2. Select Model: In Pro/M365, choose GPT-4.1 for speed or GPT-5 for complex reasoning (Think Deeper mode).
3. Custom Agents: Use Copilot Studio ($200/month) to create personal agents (e.g., an agent to manage meeting schedules).
4. Third-Party Integrations: Connect with ServiceNow/Zendesk via connectors (from Build 2025).

D: Daily Tips – Daily Tips

• Use clear prompts: “Analyze this Excel data and create a column chart for Q4 2025 revenue.”
• Combine Actions: “Schedule a meeting with the team for next Tuesday” (integrates with Outlook).
• Monitor usage: In the admin center, view metrics to optimize quotas.

E: Explore Advanced

1. Copilot Notebooks (OneNote): Create AI notebooks to combine notes, files, and Teams meetings. Use Contextual Intelligence for summaries (Audio Overview for quick listening).
2. Copilot Vision: Analyze screens/webpages (e.g., “Explain this chart”).
3. GitHub Copilot: In VS Code, type a comment > Copilot generates code (supports Claude/Gemini from 2025).
4. Security Copilot: Analyze threats via Defender (for IT).

F: Features Deep Dive

• Deep Research: Conduct in-depth searches with citations (from web/Bing).
• Session Persistence: Maintain context across chat sessions (M365).
• Mico (New Clippy): Interactive 3D assistant (launching 10/23/2025).

G: GitHub-Specific – GitHub Copilot Guide

1. Install the extension in VS Code > Log in to GitHub.
2. Type “Write a Python function to calculate the average” > Accept the suggestion.
3. Chat: “@workspace /explain” to explain the code.

H: Help & Troubleshooting

• Common Errors: “Quota exceeded” – Upgrade to Pro. “Not integrated” – Check M365 license.
• Support: Go to support.microsoft.com/copilot or chat with Copilot about the error.
• Updates: Check Copilot Labs for experimental features.

I: Integration – Integration With Other Tools

• WhatsApp/Teams: Deploy agents via Studio.
• SharePoint/OneDrive: Add content directly to Notebooks.

J-Z: Zenith – Reaching the Peak (Expert Tips & The Future)

• Advanced Prompting: Use “Think Deeper” for complex problems: “Think step-by-step: Analyze the risks of this project.”
• Adoption Framework: Follow Microsoft’s Essential Guide: Plan > Deploy > Measure > Optimize.
• The Future 2025: $80 billion investment in data centers, agents with multi-step workflows.
• Zenith Tip: Combine with Microsoft Learn to study via free modules.

Summary of Key Steps (A-Z Quick Reference)