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Microsoft Copilot Studio AI features, pricing and GDPR (October 2026)
Microsoft's low-code studio for building AI agents, workflows and agent flows, integrated with Microsoft 365, Teams and Power Platform.
Usage-basedFree trial
from $200 per month
Pricing details
Packs of 25,000 Copilot Credits for $200 per month or pay-as-you-go; pre-purchase saves up to 20 percent. Included for internal agents with Microsoft 365 Copilot ($30 per user per month, paid yearly). An Azure subscription is required for standalone agents (as of September 2026).
What is Microsoft Copilot Studio?
Microsoft Copilot Studio is a low-code tool for building AI agents and automated workflows that connect to company data and run in Microsoft 365, Teams, websites and other channels. It fits organizations already on Microsoft 365 or Power Platform.
Copilot Studio brings agents, workflows and agent flows into one studio and connects them to data through prebuilt or custom connectors. Solutions run on one of three harnesses: a GitHub Copilot harness for multi-step reasoning, a standard harness for rule-based conversations built from topics, and a Copilot chat harness that extends Microsoft 365 Copilot Chat. Analytics, evaluations with test sets and an agent inventory support operation. Billing uses Copilot Credits, either in packs or pay-as-you-go, and internal agents are included with Microsoft 365 Copilot.
Microsoft Copilot Studio AI features and use cases
- Creates agents from a descriptionMakers describe an agent in plain language, test it and publish it to Teams, Microsoft 365 Copilot, websites or mobile apps. Agents follow instructions, draw on connected knowledge and use tools, so an HR or IT service desk can answer routine questions in the channels employees already use.
- Generates workflows with AI stepsCopilot Studio can generate, configure and validate a workflow from a description, and each step can combine agents, tools and logic. Workflows include testing and human-in-the-loop controls for business processes.
- Runs agent flows with human reviewAgent flows, similar to Power Automate, can run prompts, call agents and include human review steps. They serve as standalone automations or as tools that return results to an agent.
- Extends Microsoft 365 CopilotTeams can add their own instructions, tools and knowledge to Microsoft 365 Copilot. Employees get answers grounded in company content without leaving Microsoft 365.
What sets Microsoft Copilot Studio apart
- Data can stay in 18 Azure geographies, including Germany, Switzerland, France and the UK.
- Internal agents included with Microsoft 365 Copilot licenses.
- Three harnesses with different billing and capabilities, from rule-based topics to multi-step reasoning.
Where Microsoft Copilot Studio is strongest
United States Available internationally
Available worldwide without a documented country focus; data can stay in 18 Azure geographies, including Germany, Switzerland and Europe.
Questions to ask before you buy Microsoft Copilot Studio
Create environments in the right Azure geography; some data such as activity logs follows the user's Exchange mailbox region, and external channels can move data elsewhere. Credits are consumed per task, so estimate volume before rollout. Standalone agents need an Azure subscription.
Using Microsoft Copilot Studio in the EU: GDPR and AI Act
- Data locationMultiple regions, EU region available (according to the vendor). Hosting regions: EU, Germany, Switzerland, France, United Kingdom, Norway, Sweden, United States, Canada, Australia, Japan, South Korea, India, Singapore, Hong Kong, South Africa, Brazil, United Arab Emirates.
- Data processing agreementNot published by the vendor: ask for one (Art. 28 GDPR).
- EU AI ActCheck whether the AI prepares decisions about people. If not, the high-risk rules usually do not apply. The high-risk obligations apply from December 2, 2027 (Digital Omnibus).
General information with sources, not legal advice.
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Questions about Microsoft Copilot Studio
Where does Copilot Studio store data?
In the Azure geography you choose, from 18 geographies including Europe, Germany, Switzerland and the United States. Some global services and features, such as activity data, follow other storage rules.
Is Copilot Studio included in Microsoft 365 Copilot?
Internal agents that work within Microsoft 365 are included with Microsoft 365 Copilot at $30 per user per month, paid yearly. Publishing to external channels needs standalone Copilot Studio credits.
How is standalone use billed?
Through Copilot Credits, either as prepaid packs of 25,000 credits for $200 per month or pay-as-you-go.
Microsoft Copilot Studio update historyno updates yet
No changes recorded for Microsoft Copilot Studio yet.
Changes the vendor made and confirmed user reports, each checked against the vendor's own pages. We review every tool monthly.
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