Microsoft Merges Enterprise and Consumer Copilot Apps

Microsoft is reportedly planning to combine its Copilot consumer and enterprise artificial intelligence apps.

The tech giant is also eliminating unwanted features so it can ‘earn the right to exist’ in the eyes of customers, according to a memo cited in a Thursday (July 2) report from The Information.

In that memo, Jacob Andreou — the executive vice president in charge of Copilot — said the combined app would also feature AI coding tools and new AI agents for which customers would need to pay extra, the report added.

These agents, known as “AutoPilot,” are designed to be “always-on” ’ to “automate the mundane,” on customers’ behalf, the memo said. PYMNTS has contacted Microsoft for comment but has not yet gotten a reply.

The Information report noted that Microsoft’s Thursday announcement that it was launching a $2.5 billion AI consultancy business could help Copilot.

Dubbed the Microsoft Frontier Company, the new unit will place 6,000 “industry and engineering experts” with Microsoft customers to “co-design, co-innovate, deploy and continuously improve AI systems.”

As the report pointed out, this move mirrors similar efforts from Amazon, OpenAI and Anthropic to make it easier for businesses to use the newest AI tools.

Andreou said his unit has “stripped out what wasn’t working,” such as underused features that Microsoft developed for Copilot tools in some of its enterprise offerings.

The report added that these changes are meant to convince Copilot customers to pay extra for new add-ons that will come with the new combined app, like AI coding tools, AutoPilot agents and other add-ons such as Copilot Cowork.

While those features compete with the likes of Anthropic’s Claude Cowork, Microsoft has taken a conciliatory stance by allowing companies Anthropic build their own plug-ins for its Office software, the report added.

Meanwhile, recent PYMNTS Intelligence research shows a correlation between AI usage at and outside of work.

Among workers whose companies provided access to an AI platform, 78% said they use the same platform at home.

Workers who devote hours to each workday interacting with a specific AI platform naturally develop familiarity with its capabilities, limitations and interface. Moving to another assistant for personal tasks takes additional effort while providing uncertain benefits.

“That dynamic creates a new return on enterprise investment for AI vendors,” the report added. “Every workplace deployment introduces potential future consumer users who have already overcome one of technology’s biggest adoption hurdles: learning how to use the product effectively.”

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