Microsoft's own ToS calls Copilot 'entertainment only' amid adoption slump
By Allison Steffens Herrera
Published on April 5, 2026.
Microsoft's own Terms of Use, which labels Copilot 'for entertainment purposes only' and warns users not to rely on it for important advice, has caused a significant decrease in adoption figures, with only 3.3% of Microsoft 365 and Office 365 users actually paying for the tool. The clause, which appears in October 2025 and early April 2026, states that Microsoft makes no warranty or representation about Copilot and its output may not be free from copyright, trademark, or privacy rights infringement. The terms apply to consumer Copilot products, but the enterprise-facing Microsoft 365 Copilot is excluded from the clause. The company has been promoting Copilot across Windows 11 and the Microsoft 365 suite since 2023, positioning it as an AI companion for workers in Word, Excel, PowerPoint, and Outlook. However, research from Recon Analytics found that its accuracy is unreliable.
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