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Microsoft Introduces US$20 AI Subscription to Boost Business

In a bid to expand its customer base beyond large enterprises, Microsoft (MSFT.O) has announced that consumers and small businesses can now purchase subscriptions to access enhanced capabilities in its artificial intelligence tool, "Copilot."

After the successful launch of a free AI Copilot for Bing search engine last year, Microsoft is now offering Copilot Pro to individuals for just US$20 per month.

With this subscription, users will gain access to a text-drafting, number-crunching AI assistant that integrates seamlessly with Microsoft's popular applications like Word and Excel. Additionally, subscribers will have the opportunity to explore new tools and AI models, including the highly anticipated GPT-4 Turbo.

In a significant move, Microsoft has also removed the previous requirement of a minimum of 300 users to purchase the enterprise version of the software. This means that smaller businesses can now take advantage of the security controls and Microsoft Teams upgrade that come with the $30 per-month per-user Copilot subscription.

Jared Spataro, Corporate Vice President at Microsoft, expressed his confidence in the widespread adoption of Copilot among commercial organizations. He stated, "I can't imagine a commercial organization out there that will not buy at least a seat of Copilot to see what it's all about."

While Microsoft competes with Alphabet's (GOOGL.O) Google in the AI productivity and cloud software market for business customers, Copilot Pro is also entering the increasingly competitive consumer market. OpenAI, the creator of ChatGPT and a company funded by Microsoft, introduced a $20-per-month subscription called ChatGPT Plus almost a year ago, offering early access to new features and AI models.

Spataro emphasised that Copilot Pro stands out from its competitors because of its seamless integration into everyday applications that people use regularly.

  • Microsoft offers Copilot Pro subscription for $20 per month to consumers and small businesses.

  • Subscribers gain access to an AI assistant integrated into popular Microsoft applications.

  • The minimum user requirement for the enterprise version has been removed, allowing smaller businesses to benefit from Copilot's features.


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