AI has moved from a buzzword to a business essential. By 2025, Microsoft 365 Copilot is widely embedded across Word, Excel, Outlook, and Teams, transforming productivity for businesses of all sizes.
What is Microsoft 365 Copilot?
Microsoft 365 Copilot is an AI-powered productivity assistant built directly into the Microsoft 365 apps millions of people use every day. Acting like a “co-pilot,” it helps users draft documents, analyse data, summarise emails, create presentations, and even generate meeting updates, all while keeping privacy and security at the forefront.
Unlike standalone AI tools, Copilot blends the power of large language models with your business data in Microsoft Graph (emails, documents, calendars, chats), giving you context-aware results that save time and reduce manual effort.
How Copilot Works Across Microsoft 365
- Word – Drafts reports, rewrites content for clarity, and adapts tone to match your audience.
- Excel – Answers queries about your data, builds complex formulas, and automates reporting.
- PowerPoint – Turns written content into full slide decks with design suggestions and speaker notes.
- Outlook – Summarises long email threads, suggests replies, and helps prioritise messages.
- Teams – Business Chat can create meeting summaries, highlight action points, and draft updates based on your chats and calendar.
By 2025, Copilot has also expanded with Copilot Studio, allowing businesses to customise Copilot with organisation-specific data and workflows.
Tech Requirements and Licensing in 2025
As of 2025, Microsoft 365 Copilot requires an additional license (Microsoft 365 Copilot add-on), available with Microsoft 365 Business Standard, Premium, and Enterprise plans. Licensing is billed per user, with monthly pricing now standardised.
To use Microsoft 365 Copilot in 2025, businesses must be running Windows 11 or the latest Microsoft 365 apps and have an active Microsoft 365 licence such as Business Standard, Business Premium, E3, or E5. On top of this, an additional Copilot add-on licence is required, billed per user on a monthly basis. Pricing varies, but most UK SMEs now factor Copilot into their core productivity stack as a standard business expense.
The Real Business Benefits of Copilot
Early hype around AI is now backed up by measurable results. Businesses using Copilot consistently report:
- Time savings – Up to 40% faster email handling in Outlook and Teams.
- Improved productivity – Finance and HR teams cut hours from reporting cycles by letting Excel automate summaries.
- Better presentations – PowerPoint users generate polished decks in minutes, freeing up time for strategic work.
- Knowledge management – Business Chat turns scattered documents, chats, and emails into quick, actionable insights.
- Employee satisfaction – Staff feel supported, not replaced, by an AI that handles the repetitive tasks.
After the initial launch in 2023, Microsoft 365 Copilot has moved from hype to business-critical in just two years. By 2025, it’s clear that AI-driven productivity is here to stay, and the businesses adopting it early are already reaping the benefits.
If you want to unlock the full potential of Microsoft 365 Copilot in your organisation, whether it’s setting up licenses, training staff, or integrating Copilot into daily workflows, contact the SupportWise team today for tailored advice.
Frequently Asked Questions
Copilot is available as an add-on licence billed per user, on top of an existing Microsoft 365 plan (Business Standard, Premium, E3, or E5). Pricing is monthly and depends on region and organisation size.
SMEs benefit greatly, especially in admin-heavy roles like HR, finance, and marketing. Copilot reduces repetitive work so smaller teams can stay competitive.
Copilot Studio allows businesses to customise Copilot with their own data, apps, and workflows, creating a more tailored AI experience.
Yes. Copilot leverages Microsoft’s enterprise-grade security, compliance, and privacy frameworks. Your business data stays within your Microsoft 365 tenant.