Microsoft adds free Copilot Chat to Word, Excel, PowerPoint, Outlook, and OneNote
Key Points
- Free Copilot Chat sidebar added to Word, Excel, PowerPoint, Outlook, and OneNote for all Microsoft 365 business users.
- AI assists with drafting, summarizing, slide creation, and spreadsheet analysis without extra licensing.
- Feature described as secure, web‑grounded, and content‑aware, understanding the open file’s context.
- Paid Copilot subscription ("$30 per month per user") still provides advanced tools like file upload, image generation, and GPT‑5 access.
- No price changes for business customers with the free Copilot Chat rollout.
- Microsoft plans to bundle sales, service and finance Copilots into the subscription in October.
Microsoft announced that all Microsoft 365 business users will receive a free Copilot Chat sidebar in Word, Excel, PowerPoint, Outlook and OneNote. The feature provides AI‑driven assistance such as drafting documents, summarizing content and analyzing spreadsheets without requiring a separate Microsoft 365 Copilot license. While the free version offers core capabilities, the paid Copilot subscription continues to deliver advanced features like file upload, image generation and access to newer models such as GPT‑5. The rollout comes with no price changes for business customers, and Microsoft plans to bundle additional sales, service and finance Copilots into its subscription later this year.
Free Copilot Chat rolls out to core Office apps
Microsoft confirmed that every Microsoft 365 business subscriber will now see a Copilot Chat sidebar embedded in Word, Excel, PowerPoint, Outlook and OneNote. The sidebar lets users ask the AI to draft text, create slide decks, summarize documents, and run data analyses directly within the file they are working on. According to the company, the tool is "secure AI chat grounded in the web" and is "content aware," meaning it quickly understands the context of the open document and tailors its responses accordingly. This functionality is provided at no additional cost and does not require a separate Microsoft 365 Copilot license.
Paid Copilot license still offers premium capabilities
The existing Microsoft 365 Copilot subscription, priced at $30 per month per user, remains available for customers who need the most advanced AI features. Those with the paid license receive priority access to capabilities such as file upload, image generation, and the latest model upgrades, including GPT‑5. The premium tier also offers faster response times, broader reasoning across multiple files, and continuous availability even during peak usage periods.
Business pricing unchanged, future bundling planned
Microsoft previously introduced AI‑powered Copilot features for consumer Microsoft 365 plans earlier in the year, alongside a price increase for those subscriptions. In contrast, the company announced that there will be no price adjustments for business users as the free Copilot Chat is added to the Office suite. Looking ahead, Microsoft said it will bundle its sales, service and finance Copilots into the Microsoft 365 Copilot subscription in October, aiming to provide a more comprehensive AI toolkit for enterprises.