Microsoft Is Splitting Copilot Into Three Tiers — and Killing the Copilot+ Brand

Microsoft is restructuring its AI lineup: the Copilot app is being split into three tiers — including a new autonomous ‘Autopilot’ agent — and the company is abandoning its Copilot+ PC hardware branding to go all-in on cloud-based AI.

The message is hard to miss: the future Microsoft is selling isn’t a smarter laptop, it’s intelligence that lives in the cloud and acts on your behalf. The Autopilot tier pushes Copilot from assistant toward agent — software that doesn’t wait to be asked.

Dropping the Copilot+ PC brand is the bigger tell. Microsoft spent two years convincing the world that on-device AI PCs were the future. Walking that back now suggests the numbers didn’t justify the story — the action, and the revenue, is in the cloud.

It also sharpens the competitive lines. With OpenAI pausing frontier training over safety and Meta giving away free computers, Microsoft is choosing its battlefield: the subscription agent, priced in tiers, running on Azure. The AI pricing wars are entering their bundling phase.