Microsoft Copilot Struggles to Gain Traction Amid ChatGPT Dominance

Microsoft’s Copilot assistant has failed to gain significant traction, attracting only 20 million users a week, compared to ChatGPT’s 400 million weekly users. The underwhelming performance of Copilot has raised concerns about Microsoft’s investments in AI and its potential impact on the company’s business.

In January 2024, Microsoft shifted its focus towards developing Copilot using Large Language Model (LLM) technology, introducing new features such as Copilot Pro subscription plans, Copilot+ devices with NPU built-in, and a dedicated Copilot key on the keyboard. However, these efforts have not been enough to attract users.

A recent report charted the number of users for Copilot over the past year, showing a flat line with around 20 million weekly users. In contrast, ChatGPT’s growth has been exponential, arching upward towards 400 million weekly users. This stark disparity has left Microsoft’s consumer AI team and its leadership reeling.

The low adoption rate of Copilot is concerning for Microsoft, given the company’s significant investment in AI and its dominance in the Windows market with over 1.5 billion users worldwide. The situation is particularly alarming as companies have made a large bet on the popularity of AI-powered tools, and it appears that this trend may be reversing.

The struggles of Copilot have also led to setbacks, including Microsoft’s decision to backtrack on the Copilot key feature and allow users to customize it. Furthermore, Intel’s recent admission that its AI hardware is not shifting has added fuel to the fire. It remains to be seen how Microsoft will recover from this setback, but for now, Copilot’s underwhelming performance has left many wondering about the future of Microsoft’s AI ambitions.

Source: https://www.xda-developers.com/microsofts-huge-venture-flatlines