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L6 · Applications & ProductsMSFT

Microsoft Copilot

Microsoft's AI assistant embedded across Office 365, Teams, and Windows

Updated May 2026

Overview

Founded
2023
Headquarters
Redmond, WA
Ownership
Public
Segment
Consumer & Productivity AI

Product overview

Microsoft Copilot is Microsoft's AI assistant embedded across Microsoft 365 apps (Word, Excel, Teams, Outlook, PowerPoint), Windows, and Bing, powered by GPT models and grounded in organizational data via Microsoft Graph. Used by enterprises and individuals for drafting documents, analyzing data, summarizing meetings, and answering questions across Microsoft's ecosystem. Distinct for deep integration with Microsoft 365 data and apps, making it the dominant enterprise AI assistant by distribution.

Revenue model

M365 Copilot add-on pricing

Moat

Microsoft Copilot's primary competitive moat is its deep integration within the Microsoft 365 ecosystem and access to organizational data through Microsoft Graph, which competitors cannot replicate. This creates substantial switching costs—organizations already invested in Microsoft 365 (Teams, Outlook, Word, Excel, etc.) gain secure, compliant AI assistance that leverages their internal emails, documents, calendars, and knowledge repositories without requiring data migration to third-party systems, while competitors lack this native enterprise-grade integration and identity management framework.

Active layers

Stack lineage

What powers Microsoft Copilot

L3Data
  • Pinecone

    Listed as a Pinecone customer building AI-powered applications.

L1Silicon
  • AMD

    AMD semi-custom SoC products power the Sony PlayStation® 5, the Microsoft® Xbox Series S™ and X™ game consoles, as well as the recently revealed Valve Steam Machine PC.

  • NVIDIA

    Delaware law, provisions in our governing documents and our agreement with Microsoft could delay or prevent a change in control.

L0Infrastructure
  • Vertiv Holdings Co

    Examples of companies in this space [Cloud/Hyperscale] include Microsoft, Amazon Web Services, and Google Cloud.

What Microsoft Copilot powers

L6Applications
  • CrowdStrike

    Starting fiscal year 2027, the Microsoft Marketplace will be used to bring CrowdStrike to market.

L4Models
  • OpenRouter

    OpenRouter hosts Microsoft Copilot's models — e.g. microsoft/phi-4-mini-instruct appears in their public model catalog.

Competitors

1 company

Named as a competitor in their own or this company's SEC filings.

L1Silicon
  • NVIDIA

    Large cloud services companies with internal teams designing hardware and software that incorporate accelerated or AI computing functionality, such as Alibaba Group, Alphabet Inc., Amazon, Microsoft Corporation, and suppliers of Arm-based CPUs.