Copilot vs ChatGPT for Work: Which Suits Your Business?
By Kesley Kernes · 24 October 2026 · 7 min read
If your business already runs on Microsoft 365, Microsoft 365 Copilot is usually the stronger choice for everyday work in Outlook, Word, Excel and Teams, because it can draw on your own emails, files and meetings. ChatGPT Business tends to suit teams who want a flexible, general-purpose assistant for drafting, research and analysis, regardless of which office suite they use. For many small and medium businesses the real answer is "one first, chosen on purpose", not both by accident.
This guide compares Copilot vs ChatGPT for work for an established Australian business with 10 to 200 staff: strengths, team costs, data handling and how to decide.
The short answer: it depends where your work lives
The biggest difference isn't how clever the models are. It's where each tool sits in your working day.
Microsoft 365 Copilot is built into the apps your team already opens every morning. Microsoft says Copilot "can generate responses anchored in your organizational data, such as user documents, emails, calendar, chats, meetings, and contacts" (Microsoft Learn). That makes it good at "summarise this thread", "draft a reply using last week's proposal" or "what did we agree in Tuesday's meeting?"
ChatGPT is a standalone workspace. Your team goes to it, rather than it coming to them. It shines at open-ended thinking work: drafting from scratch, rewriting for a different audience, analysing a spreadsheet you upload, or working through a problem step by step. It can connect to business tools such as Microsoft 365, Google Workspace and Slack. On ChatGPT Business most of these apps are switched on by default, so an admin needs to decide which to keep on, and some Microsoft features need IT approval first.
Copilot vs ChatGPT for work: side by side
Here's how the two compare on the points that matter most to a business choosing for a whole team. Details were checked in October 2026 and change often, so confirm current terms before you buy.
| Question | Microsoft 365 Copilot | ChatGPT Business |
|---|---|---|
| Where it works | Inside Outlook, Word, Excel, PowerPoint and Teams | Its own web, desktop and mobile apps |
| Uses your work data | Emails, files, chats and meetings you can access | Files you upload, plus apps you connect |
| Trained on your data? | Microsoft says no | OpenAI says no, by default |
| Best at | Work tied to your Microsoft 365 content | Flexible drafting, research and analysis |
A 30-person accounting firm that lives in Outlook and Excel may get more from Copilot. A 50-person consulting team that writes and researches all day may prefer ChatGPT, even on Microsoft 365.
What each one costs for a team
For a typical SME team, list prices for the two business plans are in a similar range per person, but how you buy them is different. Copilot is an add-on to (or bundle with) your Microsoft 365 plan, while ChatGPT Business is a separate subscription.
Microsoft 365 Copilot Business
As of October 2026, Microsoft's Australian Copilot for business page lists the Microsoft 365 Copilot Business add-on at AU$26.91 per user per month on an annual commitment, shown as a promotional price "Originally starting from AU$31.40". Paying monthly is listed at AU$37.68. Prices on that page exclude GST.
Microsoft also bundles Copilot with Microsoft 365 Business Standard and Business Premium, which can be simpler if you're reviewing your Microsoft licences anyway.
ChatGPT Business
OpenAI's help centre lists ChatGPT Business standard seats at US$20 per user per month billed annually, or US$25 billed monthly, with a minimum of two paid seats (OpenAI help centre, checked October 2026). OpenAI doesn't publish an Australian dollar price there, so the amount you pay will depend on the exchange rate and how GST is applied to your account.
An illustrative example for a team of 40
This is illustrative only, using list prices checked in October 2026. Your actual cost will depend on your plan, billing terms, discounts, exchange rates and GST.
- Copilot Business add-on, 40 staff, annual commitment: 40 × AU$26.91 = about AU$1,076 a month (ex GST), on top of your existing Microsoft 365 licences.
- ChatGPT Business, 40 staff, billed annually: 40 × US$20 = US$800 a month, before currency conversion and GST.
The licence is rarely the biggest cost. Training, setting up permissions and agreeing how the tool should be used usually decide whether the money is well spent.
How each handles your business data
Both business plans say they don't train their models on your business content, but they handle access to your data in different ways. That difference matters more than the headline privacy promise.
Copilot respects your existing Microsoft 365 permissions. Microsoft says Copilot "only surfaces organizational data to which individual users have at least view permissions" (Microsoft Learn). That sounds reassuring, and it is, as long as your permissions are tidy. If a payroll spreadsheet sits in a SharePoint folder half the company can open, Copilot can find it for anyone who asks the right question. Many SMEs need a permissions clean-up before switching Copilot on widely.
ChatGPT Business sees what staff type, upload or connect. Apps such as Google Drive and SharePoint are switched on by default, so staff can link their work accounts unless an admin turns this off. OpenAI's pricing page says business data isn't used for training by default, and its SharePoint documentation says ChatGPT "only retrieves content the relevant Microsoft account or authorized workspace member is already allowed to access" (OpenAI help centre). The main risk is staff pasting things they shouldn't, and once apps are connected, untidy permissions matter here too.
Where your data is stored. If storing data in Australia matters to you or your clients, check each vendor's current data residency terms. OpenAI's help centre lists Australia as a data residency region for ChatGPT Enterprise and Edu, but doesn't say the same for Business.
Whichever you choose, Australia's privacy regulator advises businesses to think carefully before putting personal information into AI tools. The OAIC's guidance on commercially available AI products is a sensible read for whoever owns the decision. Whatever the vendor's training settings, your business remains responsible for how personal information is handled. This is general information only, so get advice for your situation, and our guide to AI policy for Australian businesses covers the rules to set first.
A quick note on the free Copilot Chat
Many businesses on Microsoft 365 already have Microsoft 365 Copilot Chat, a web-grounded assistant. Microsoft says it is available "at no additional cost" with eligible Microsoft 365 plans and includes enterprise data protection (Microsoft).
It doesn't draw on your emails and files the way the paid licence does, but it's a low-risk way to build habits before you spend. Plenty of SMEs should start here, train a pilot group properly, and only buy paid licences for the roles that clearly need them.
How to choose: five questions for your leadership team
Choose on how your team works, not on which tool has the most impressive demo. These five questions usually settle it.
- Where does most of our work happen? If it's Outlook, Teams, Word and Excel all day, Copilot has a head start.
- Are our Microsoft 365 permissions in good shape? If not, fix them before Copilot, or start with ChatGPT and Copilot Chat while you do.
- What are the top five tasks we want help with? Drafting and research lean ChatGPT. Summarising meetings, inboxes and internal documents lean Copilot.
- Who will own the rollout? Either tool fails without a named owner, approved-use rules and training.
- How will we know it's working? Agree a measure before you buy, such as time saved on a specific weekly task.
If you're not sure your business is ready to answer these yet, the free six-minute AI Readiness Check gives you a quick baseline to start the conversation. For the groundwork to cover before any purchase, see seven questions to ask your team before buying AI tools.
Frequently asked questions
Can we use both Copilot and ChatGPT?
Yes, but make it a deliberate choice: two tools means two sets of rules, two lots of training and two bills. It's usually better to get one tool working well first, then add a second for the roles that need it.
Is Copilot just ChatGPT inside Microsoft 365?
No. They're separate products with different features, controls and pricing. Copilot works inside your Microsoft 365 apps and content, while ChatGPT is a separate workspace.
What about Claude and Gemini?
They're credible alternatives, and Gemini is worth a look if your business runs on Google Workspace. The same questions apply: where your work lives, how the tool handles your data and who owns the rollout. For a wider comparison, see our complete guide to the best AI tools for Australian businesses.
How NovoPro can help
Picking the tool is the easy part. Getting 40 or 140 people using it safely and every day is where the value is. NovoPro's AI Training and Adoption service helps SMEs choose the right tool for how they work, set sensible rules and train teams on their real tasks, so the licences you pay for are more likely to get used.
If you're weighing up Copilot vs ChatGPT for work right now, book a 15-minute Problem First Call and we'll talk through what fits your business.
Written by Kesley Kernes, Founder and Principal Consultant of NovoPro. Kesley holds an MBA and a Lean Six Sigma Black Belt, previously established an RPA Centre of Excellence, and helps small and medium businesses across Newcastle, the Hunter and Australia use AI and automation to make and save money.