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# Microsoft trims Copilot as it merges consumer and business apps into one

**[Collections](https://daily.dev/sources/collections)** · 3 min read · 1 upvotes · 0 comments

## Summary

Microsoft is merging its consumer Copilot app into Microsoft 365 Copilot, cutting Group Chats, AI-generated podcasts, Copilot Labs, and the consumer version of Deep Research by August 18. Deep Research is replaced by Researcher, now paywalled behind a paid tier. Files move to OneDrive, and some features may temporarily disappear during the transition. Mico, Copilot's mascot introduced less than a year ago, is being demoted from the main voice experience to a tutoring role in Learn Live. New AI head Jacob Andreou says every feature now must 'earn the right to exist.' Microsoft 365 Copilot has 30 million paid seats, while the consumer app has about 38.5 million monthly users versus ChatGPT's roughly one billion, with only 3.3% of Copilot users paying for anything.

## Content

Microsoft is folding its consumer Copilot app into Microsoft 365 Copilot, creating a single app instead of two separate AI experiences. Along the way, several features are getting cut, and the company's own AI mascot is getting demoted.

## What's going away

Starting August 18, Microsoft is retiring:

- Group Chat
- AI-generated Podcasts
- Copilot Labs experimental features
- Consumer Deep Research (Microsoft 365 Premium subscribers can use Researcher instead)

Mico, the animated character introduced as Copilot's voice assistant mascot, is also being pulled from that role. Rather than disappearing entirely, it's being reassigned to a tutoring function inside Learn Live. So the mascot isn't dead, exactly — it's just been reassigned to a smaller job, which feels like a fitting metaphor for the whole cleanup effort.

Files from the standalone Copilot app will move to OneDrive, and Microsoft has warned that some features might briefly vanish during the transition.

## Why now

Jacob Andreou, who now leads AI at Microsoft, reportedly told his team that every feature needs to "earn the right to exist." That's a blunt way of putting it, but the numbers back him up. Microsoft 365 Copilot has around 30 million paid seats. The consumer Copilot app, meanwhile, has about 38.5 million monthly users — compared to ChatGPT's roughly one billion. Only 3.3% of Copilot users actually pay for it.

When a product has that kind of gap between usage and revenue, you start asking which parts of it are actually working. Apparently the answer, for group chats and AI podcasts, was: not enough.

## The bigger plan: one Copilot everywhere

Instead of separate apps for personal and work use, Microsoft wants one Copilot that follows you across:

- iOS and Android
- Windows and macOS
- The web
- Personal and work accounts (kept logically separate, but under one interface)
- Microsoft 365 apps, agents, and workflows

The rollout has already started on mobile and web, with Windows and macOS versions expected in mid-September. A fuller "super app" — combining chat, coding, Cowork, and Autopilot — is expected by the end of Q3.

There's an interesting tension here. A lot of the local-AI crowd is moving toward models and agents that run on their own hardware, prioritizing privacy and control. Microsoft is going the opposite direction: one cloud-based AI layer that trails you across every device and app you use. Whether that bet pays off probably depends on how much people trust a single company to hold both their personal and work AI context in one place.

Microsoft isn't alone in tidying up its AI sprawl, either. Anthropic recently folded Cowork into Claude Chat, OpenAI merged Operator into ChatGPT, and Google keeps stuffing deep research and browsing directly into Gemini. Everyone built a pile of separate AI experiments over the past two years, and now everyone's consolidating them into one thing. Make of that trend what you will.

Worth noting: a UK competition probe into how Microsoft 365 Copilot gets bundled with other products is still open, so this consolidation is happening under some regulatory scrutiny too.

## Questions this post answers

### What Copilot features is Microsoft removing when it merges the consumer app into Microsoft 365 Copilot?

Microsoft is cutting Group Chats, AI-generated podcasts, Copilot Labs, and the consumer version of Deep Research by August 18. Deep Research is replaced by Researcher, but that feature is locked behind a paid professional tier. Files stored in the standalone Copilot app move to OneDrive, and some features may temporarily disappear during the transition.

_Track Copilot feature changes like this on daily.dev before they affect your workflow._

### What happened to Mico, Microsoft Copilot's mascot?

Mico, the googly-eyed blob Microsoft introduced as Copilot's mascot less than a year ago, is being removed from the main voice experience and reassigned to a tutoring role inside Learn Live. It went from flagship mascot to a sidelined tutor bot in about ten months.

_Follow shifts in Microsoft's AI assistant design on daily.dev as Copilot evolves._

### How many people pay for Microsoft Copilot versus use it for free?

Microsoft 365 Copilot has roughly 30 million paid seats, while the consumer Copilot app has about 38.5 million monthly users, compared to ChatGPT's roughly one billion. Only 3.3% of Copilot users are paying for anything, a low conversion rate that's driving the current feature cuts and consolidation.

_Compare AI assistant adoption numbers like these on daily.dev when evaluating tools._

## Similar posts on daily.dev

- [Microsoft is merging its Copilots into one AI super app](https://daily.dev/posts/microsoft-is-merging-its-copilots-into-one-ai-super-app-f2ckdhaiq) · The Next Web · 0 upvotes · 0 comments

---

Tags: [#microsoft](https://daily.dev/tags/microsoft), [#ai-agents](https://daily.dev/tags/ai-agents), [#product-management](https://daily.dev/tags/product-management), [#microsoft-copilot](https://daily.dev/tags/microsoft-copilot)

[View this post on daily.dev](https://daily.dev/posts/microsoft-trims-copilot-as-it-merges-consumer-and-business-apps-into-one-4dmokla5v)

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