Claude vs Microsoft Copilot. Where each one fits, and when to use both.
Microsoft 365 Copilot works inside the Microsoft apps your people already use. Claude is an assistant and agent platform that connects to all your tools. Here is how they compare, and how companies combine them.
30 minutes with a solution architect.
Claude or Microsoft Copilot: which is better for business?
It depends on where your work happens. Microsoft 365 Copilot is built into Word, Excel, Outlook and Teams and grounded in your Microsoft 365 data, which makes it the natural add-on for Microsoft-centred companies. Claude is a standalone assistant with Cowork and Claude Code in every Team and Enterprise seat and connectors to the tools you use. The two are not exclusive: Microsoft makes Claude models available inside Copilot.
Written and reviewed by Solorai
- per user per month for Microsoft 365 Copilot, billed annually
- $30
- per seat per month for Claude Enterprise, plus usage
- $20
- Claude models are available inside Microsoft 365 Copilot
- Both
Side by side
Claude and Microsoft 365 Copilot, criterion by criterion.
The same criteria for both, from each vendor’s own pages.
| Criterion | Claude | Microsoft 365 Copilot |
|---|---|---|
| What it is | Anthropic’s assistant and agent platform for work: chat, Cowork and Claude Code in one seat. | Microsoft’s AI assistant inside Microsoft 365, grounded in your organisation’s Microsoft 365 data. |
| Where people use it | Claude on desktop, web and mobile, plus connectors to the tools your teams already use. | Word, Excel, PowerPoint, Outlook and Teams, plus Copilot Chat. |
| Models | Anthropic’s Claude models, with a context window of up to 1M tokens depending on the model. | OpenAI models, with Anthropic’s Claude models available in Researcher, Copilot Studio and Microsoft 365 apps. |
| Agents | Cowork plans and completes multi-step tasks across files and connected tools. Claude Code is included for software teams. | Prebuilt agents such as Researcher and Analyst; custom agents with Agent Builder and Copilot Studio. |
| Integrations | Connectors added by owners, including custom ones built on MCP, the open standard Anthropic introduced. | Microsoft Graph, Copilot connectors and Power Platform connectors; Copilot Studio can call MCP servers. |
| Data and training | Not used to train Anthropic’s models by default on Team and Enterprise. | Prompts, responses and Microsoft Graph data are not used to train foundation models. |
| Admin and identity | Team: single sign-on, usage analytics, spend and connector controls. Enterprise adds SCIM, audit logs, the Compliance API, role-based access and custom data retention. | Microsoft 365 admin centre, Microsoft Entra identity, Purview audit and retention, your existing permissions. |
| Compliance listed by the vendor | SOC 2 Type I and II, ISO 27001:2022, ISO/IEC 42001:2023 and a HIPAA-ready offering. | Microsoft 365 commitments, including GDPR and the EU Data Boundary. Anthropic models are currently outside the EU Data Boundary. |
| List price per user per month | Team: $20 Standard or $100 Premium per seat, billed annually. Enterprise: $20 per seat, billed annually, plus usage at API rates. | Microsoft 365 Copilot: $30, billed annually. Copilot Business: $21 for business plans, $18 until 31 December 2026. Copilot Chat is included. |
| Who can buy it | Team: 2 to 150 seats. Enterprise: 20 seat minimum. | Any company with a qualifying Microsoft 365 plan. Copilot Business is for business plans of up to 300 users. |
Sources: claude.com/pricing and Anthropic’s help centre; microsoft.com Copilot pricing and Microsoft Learn, checked in November 2026. List prices in US dollars, before tax. Plans change, so check the vendor pages before you buy.
How to decide
Which one, and when.
Three situations we see in companies, and what fits each.
Choose Microsoft 365 Copilot when
- Most work happens in Word, Excel, Outlook and Teams.
- You want answers grounded in Microsoft 365 email, files and meetings, with existing permissions.
- IT wants to manage AI in the Microsoft 365 admin centre.
Choose Claude when
- Your teams work across tools from many vendors.
- You want Cowork and Claude Code in the same seat as chat.
- You plan to connect your own systems through MCP.
Use both when
- Microsoft 365 is your base and some teams, such as engineering, research or legal, need Claude directly.
- Copilot for everyone, Claude seats where they add the most.
- Claude models inside Copilot cover part of the need.
FAQ
Claude vs Microsoft Copilot
Is Claude better than Microsoft Copilot?
Neither is better for every company. Microsoft 365 Copilot is strongest inside Microsoft 365 apps and data; Claude is a standalone assistant and agent platform that works across tools. The way to know for your company is a short pilot on the same tasks.
Can we use Claude inside Microsoft 365 Copilot?
Yes. Microsoft makes Anthropic’s Claude models available in Microsoft 365 Copilot, including Researcher, Copilot Studio and Microsoft 365 apps, and in some regions they are on by default. Administrators decide who can use them in the Microsoft 365 admin centre. Anthropic models are currently excluded from the EU Data Boundary.
How much does Microsoft 365 Copilot cost?
Microsoft lists Microsoft 365 Copilot at $30 per user per month, billed annually, on top of a qualifying Microsoft 365 plan. Copilot Business, for business plans, is $21 per user per month, with an $18 offer until 31 December 2026. Copilot Chat is included with eligible plans.
How much does Claude cost for a company?
Claude Team costs $20 per Standard seat or $100 per Premium seat per month, billed annually, for 2 to 150 people. Claude Enterprise costs $20 per seat per month, billed annually, plus usage at API rates, with a 20 seat minimum.
Do Copilot and Claude use our data for training?
No, by default. Microsoft states that prompts, responses and Microsoft Graph data are not used to train foundation models. Anthropic does not train its models on Team or Enterprise data by default.
Which is better for software development?
Claude Code is included in every Claude Team and Enterprise seat. Microsoft’s coding assistant is GitHub Copilot, a separate product with its own plans.
Related reading
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How is the price set?
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Copilot, Claude or both: decide on your own tasks. Start with a 30-minute briefing.
We compare both on your work, then set up the one you choose, or both side by side.