MC973501 – (Updated) Microsoft 365 Copilot Chat: Set up “Pay-as-you-go billing” in Microsoft 365 admin center (archived)

Product:

Copilot, Copilot Chat, Microsoft 365 admin center, Microsoft 365 Copilot, Microsoft 365 suite, SharePoint

Platform:

Online, World tenant

Status:

Change type:

Admin impact, New feature, Updated message, User impact

Links:

Details:

Updated January 9, 2025: We are in the process of making updates to this message to provide additional information and clarification. Thank you for your feedback.
We will introduce pay-as-you-go (PayG) billing for Microsoft 365 Copilot Chat in the Microsoft 365 admin center.
[When this will happen:]
General Availability (Worldwide): We will begin rolling out late January 2025 and expect to complete by mid-February 2025.

Change Category:
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Scope:
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Release Phase:

Created:
2025-01-07

updated:
2025-01-10

Task Type

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Docu to Check

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MS How does it affect me

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MS Preperations

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MS Urgency

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MS workload name

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Pictures

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summary for non-techies**

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Direct effects for Operations**

Billing Setup Issues
If the pay-as-you-go billing is implemented without proper preparation, admins may face difficulties in setting up the billing correctly, leading to service interruptions for users who need access to Copilot Chat.
   - roles: Global Admin, SharePoint Admin
   - references: https://learn.microsoft.com/azure/cloud-adoption-framework/ready/azure-best-practices/initial-subscriptions, https://learn.microsoft.com/azure/azure-resource-manager/management/manage-resource-groups-portal

User Access Delays
Without prior preparation, users may experience delays in accessing Microsoft 365 Copilot Chat due to the default disabled state of the pay-as-you-go service, impacting their productivity.
   - roles: End Users, IT Support
   - references: https://learn.microsoft.com/azure/cloud-adoption-framework/ready/azure-best-practices/initial-subscriptions, https://learn.microsoft.com/azure/azure-resource-manager/management/manage-resource-groups-portal

Increased Support Tickets
The lack of preparation for the new billing setup may lead to an increase in support tickets from users facing issues accessing Copilot Chat, straining IT resources.
   - roles: IT Support, Helpdesk Staff
   - references: https://learn.microsoft.com/azure/cloud-adoption-framework/ready/azure-best-practices/initial-subscriptions, https://learn.microsoft.com/azure/azure-resource-manager/management/manage-resource-groups-portal

Configutation Options**

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Opportunities**

Optimizing Pay-as-you-go Billing
Implementing pay-as-you-go billing for Microsoft 365 Copilot Chat can allow organizations to better manage their costs by only paying for the services they actually use, rather than committing to fixed licensing costs. This flexibility can lead to significant savings, especially for organizations with fluctuating usage patterns.
   - next-steps: Evaluate current usage of Microsoft 365 Copilot services to determine potential savings. Set up the pay-as-you-go billing in the Microsoft 365 admin center as outlined in the rollout documentation.
   - roles: Finance Team, IT Administrators, Operations Managers
   - references: https://learn.microsoft.com/en-us/microsoft-365/admin/admin-overview/pay-as-you-go-billing?view=o365-worldwide

Enhanced User Experience with On-Demand Access
With the introduction of pay-as-you-go billing, users who do not have a Microsoft 365 Copilot license can still access Copilot Chat when needed. This on-demand access can improve user experience by providing necessary tools without requiring full licenses for every user, enhancing productivity and collaboration.
   - next-steps: Communicate the availability of on-demand access to users. Train users on how to utilize Copilot Chat effectively when needed, ensuring they understand the billing implications.
   - roles: End Users, Team Leaders, Project Managers
   - references: https://learn.microsoft.com/en-us/microsoft-365/collaboration/copilot-chat?view=o365-worldwide

Streamlined IT Administration
The setup of pay-as-you-go billing requires IT administrators to manage Azure subscriptions and resource groups effectively. This can lead to improved IT administrative practices and the opportunity to streamline processes around resource management and billing oversight.
   - next-steps: Develop a training program for IT staff on managing Azure subscriptions and resource groups. Create a checklist for monitoring usage and costs associated with Copilot Chat.
   - roles: IT Administrators, Cloud Architects, System Administrators
   - references: https://learn.microsoft.com/en-us/azure/azure-resource-manager/management/manage-resource-groups-portal

Potentional Risks**

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IT Security**

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explanation for non-techies**

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