Microsoft Copilot vs ChatGPT: Which AI is better for nonprofits?

Last updated: October 2026

Whether you’re choosing AI for your own work or for your whole organisation, this article is for you. We compare ChatGPT, the world’s best-known AI chatbot, with Microsoft Copilot, which is built into the Microsoft 365 apps many nonprofits use every day. We’ve written it with nonprofits in mind, to help you decide which tool fits your organisation.

The questions we answer about Copilot vs ChatGPT:

• What are the key feature differences?
• Which is more secure?
• Does Copilot or ChatGPT save more time?
• Which is better value for money?

Want to make an easy decision?

Here are 5 questions for nonprofits to decide which AI to use

Choosing the right AI for nonprofits

Choosing an AI tool can feel overwhelming, and it’s easy to get lost in the hype. Two of the most popular choices are Microsoft Copilot and ChatGPT, but which is the better fit for a nonprofit?

Here’s the reality: whatever your organisation decides, some of your staff are probably already using free AI tools on their personal accounts. That’s a problem. Free versions don’t give your organisation any control over the data, and anything pasted into them, such as donor details, client notes or financial information, leaves your hands.

The good news is that there’s a protected option most nonprofits already have. If your organisation uses Microsoft 365, your team can use Microsoft 365 Copilot Chat at no extra cost, signed in with their work account. More on that below.

In this article we compare the business versions of both tools, Microsoft Copilot and ChatGPT Business, so you can make an informed, security-conscious choice.

Why AI choice matters for nonprofits

ChatGPT launched in late 2022 and quickly popularised generative AI. It’s strong at general reasoning, writing and brainstorming. Microsoft responded with Copilot, bringing AI into Microsoft 365 apps such as Outlook, Word, Excel and Teams. Copilot stands out for its context-aware help: with the right licence, it can draw on your organisation’s documents, spreadsheets, chats and emails to give tailored answers.

In short:

• ChatGPT = strong at general reasoning and creative tasks, works across many tools
• Copilot = built into Microsoft 365, works within your existing security and permissions

Copilot is also no longer tied to a single AI model. It now uses models from both OpenAI and Anthropic (the makers of Claude), and can pick the right model for the task. For organisations in New Zealand, Australia and Canada, the Anthropic models are switched on by default, and your Microsoft 365 admin can turn them off.

Which Copilot? A quick guide

Microsoft uses the Copilot name for several products, which causes a lot of confusion. For nonprofits, these are the three that matter:

Skip to our recommendation for nonprofits

Copilot vs ChatGPT: Key features comparison

Which AI wins?

It depends on your workflow.

• Choose Copilot if you already use Microsoft 365 and want AI built into Outlook, Word, Excel and Teams, working with your own files.
• Choose ChatGPT Business if you want a flexible, conversational tool for brainstorming and creative writing, or your organisation doesn’t use Microsoft 365.

Both tools offer strong writing, research and editing capabilities.

Get in touch to talk about AI for your nonprofit

Which is more secure, Copilot or ChatGPT Business?

To get the most from any AI tool, you’ll share context: explaining a situation, pasting text, attaching files or linking spreadsheets. That raises critical questions: Where does that data go? How is it stored? Who can access it?

Both ChatGPT Business and Microsoft Copilot use advanced AI, but their data governance models differ. And if staff use free, personal versions of either tool, the risks increase dramatically.

Free ChatGPT vs ChatGPT Business

Free ChatGPT

• Collects account details, user content and technical data.
• Can use your conversations to train its models unless you opt out.
• No organisational security or compliance controls.
• If staff use personal accounts or unmanaged devices, sensitive donor or client data could be exposed.

ChatGPT Business

• Workspace data is not used to train models.
• SOC 2 compliant, with admin controls and single sign-on (SSO) support.
• Data is hosted by OpenAI, outside your Microsoft 365 environment, so it sits outside your Microsoft 365 data loss prevention and audit tools.
• Sign-in and device security depend on how your admin sets it up.

Microsoft 365 Copilot and Copilot Chat

• Prompts and responses are processed within the Microsoft 365 service boundary, with enterprise data protection.
• Never uses your data to train the underlying AI models.
• Respects your existing Microsoft 365 permissions: people only see what they already have access to.
• Works with Microsoft Purview for sensitivity labels, data loss prevention, audit and governance.
• Uses the sign-in and device rules your organisation already enforces in Microsoft 365, such as multi-factor authentication (MFA) and conditional access.
• Anthropic’s models run under Microsoft’s data protection terms, with Anthropic as a Microsoft subprocessor. They aren’t yet covered by Microsoft’s in-country data processing commitments, so if data location matters to you, your admin can switch them off.

Key security comparison: ChatGPT Business vs Microsoft 365 Copilot

Which AI wins?

For nonprofits already on Microsoft 365, and especially those handling sensitive donor, financial, health or client data, Copilot is the clear winner. It works inside the security, compliance and governance tools you already have. Free, personal AI tools should never be used for organisational data.

One thing to check first: because Copilot respects your existing permissions, it will surface anything people already have access to. If your SharePoint and Teams permissions are messy, tidy them up before rolling Copilot out.

Read the Microsoft 365 Copilot privacy documentation here.

Did you know?

Free consumer AI tools can use your conversations to improve their models unless you opt out, and that includes the personal version of Microsoft Copilot in some markets. The work version is different: when staff sign in to Copilot Chat with their work account, a green shield at the top of the screen shows enterprise data protection is on. It’s worth checking ChatGPT’s full privacy policy too.

Does Copilot or ChatGPT save more time?

Both tools deliver measurable productivity gains, but the impact depends on the type of task and how well the tool fits into your workflow.

Microsoft 365 Copilot

Built into Microsoft 365 apps (Word, Outlook, Excel, Teams and PowerPoint), Copilot reduces manual steps and automates routine tasks.

Government trials in the UK and Australia found Copilot users saved time on everyday tasks, with the UK trial reporting an average of 26 minutes per day. The biggest gains came from:

• Summarising meetings and email threads
• Drafting documents and emails
• Searching organisational content

Over a year, 26 minutes a day adds up to around 13 working days per person, especially for roles that live in Microsoft 365.

ChatGPT Business

Speeds up drafting, brainstorming and ideation for general content. In one study, people completed professional writing tasks up to 40% faster with ChatGPT, and the quality of their work improved.

Across studies, productivity gains ranged from 14% to 59% depending on the task. The biggest time savings come from:

• Generating first drafts
• Brainstorming campaign ideas
• Refining creative content

People still spend time editing for tone and accuracy, but overall document quality improves for both new and experienced users.

Which AI wins?

• Microsoft 365 Copilot is best for organisations working in Microsoft 365, where admin and document-heavy tasks dominate.
• ChatGPT Business shines for creative content and flexible ideation.
• Both tools need training and some workflow changes to unlock the full benefit, and results vary by organisation.

Which tool is easier to use, Copilot or ChatGPT?

Ease of use matters when you introduce AI into your organisation. Both tools are designed to simplify work, but they approach it differently.

ChatGPT Business

• Fast setup: sign up and start within minutes.
• Natural conversation: a simple, intuitive chat interface for quick answers and creative tasks.
• Low learning curve: ideal for first-time AI users.
• Broad accessibility: works across devices and platforms.

Microsoft 365 Copilot

• Integrated experience: built into Word, Outlook, Excel and Teams.
• Workflow-based: designed for everyday tasks within your existing processes.
• Setup: Copilot Chat is ready to use with your work account; the full add-on needs licences assigned by your admin.
• Learning curve: low for Microsoft 365 users, higher for those less familiar with the apps.

AI tool comparison: ease of use and setup

Which AI wins?

ChatGPT Business is easier for first-time AI users and organisations outside Microsoft 365. Copilot feels seamless for teams already working in Microsoft 365. Both are easy to use once staff have had some training.

Is Copilot or ChatGPT better value for money?

For nonprofits, cost matters, but so does value. Both Microsoft and OpenAI offer nonprofit discounts, but how they apply depends on the plan.

Microsoft Copilot

• Microsoft 365 Copilot Chat: included with Microsoft 365 plans at no extra cost.
• Microsoft 365 Copilot (for Enterprise plans): US$25.50 per user per month for eligible nonprofits, paid yearly (15% off the standard US$30).
• Microsoft 365 Copilot Business (for Business plans, up to 300 users): US$21 per user per month paid yearly, or US$25.20 paid monthly. A first-year promotional price of US$18 is available until 31 December 2026. There’s no nonprofit discount on this plan, but it can be added to nonprofit Business plans.

Value:

• Deep integration with Microsoft 365 apps.
• Works within the security, compliance and governance tools you already have, which is critical for nonprofits handling sensitive donor and client data.

ChatGPT

• ChatGPT Business: standard pricing is US$20 per user per month paid yearly (US$25 monthly) for a Standard seat, with a minimum of two seats. Premium seats, with higher usage limits, are US$100 paid yearly (US$125 monthly).
• Nonprofit pricing: eligible nonprofits pay US$8 per user per month for Standard seats paid yearly (US$10 monthly), through OpenAI for Nonprofits. Premium seats aren’t discounted.
• ChatGPT Enterprise: larger nonprofits can contact OpenAI for discounts of up to 75%.

Value:

• A low-cost entry point for smaller nonprofits.
• Strong for grant writing, donor outreach and creative content without heavy IT set-up.

Cost and value comparison

Pricing is in US dollars, excludes local taxes, and is accurate as of October 2026. Prices and offers change, so check with us or the provider before you buy.

Which AI wins?

• On Microsoft 365? Start with Copilot Chat. It’s already included and protects your data.
• Want AI working inside your Microsoft 365 files and meetings? Add Microsoft 365 Copilot for the people who’ll use it most.
• Not on Microsoft 365, or focused on creative work? ChatGPT Business is excellent value at the nonprofit price.

Overall, which is the best AI for nonprofits?

We’re glad you asked. We’ve created a summary of all the different categories we compared.

Microsoft Copilot vs ChatGPT Business: summary for nonprofits

Final verdict

• Every nonprofit on Microsoft 365: switch staff from free AI tools to Copilot Chat on their work accounts.
• Microsoft 365 nonprofits with admin-heavy work: add Microsoft 365 Copilot for the roles that benefit most.
• Nonprofits not on Microsoft 365, or focused on creative content: ChatGPT Business.
• Whichever you choose, train your team and adjust workflows to get the full benefit.

How to decide: 5 quick questions for nonprofits

1. Do you already use Microsoft 365 for most of your work?

• Yes → start with Copilot Chat, then consider Microsoft 365 Copilot
• No → ChatGPT Business

2. Is security and compliance a top priority (e.g. donor, health or financial data)?

• Yes → Microsoft 365 Copilot or Copilot Chat
• No → ChatGPT Business may suffice

3. What type of tasks dominate your work?

• Admin-heavy (emails, reports, meeting summaries) → Microsoft 365 Copilot
• Creative-heavy (grant writing, campaigns, donor comms) → ChatGPT Business

4. What’s your budget per user per month?

• Nothing extra → Copilot Chat. Around US$8 → ChatGPT Business
• US$21 to US$25.50 → Microsoft 365 Copilot

5. Do you need fast setup with minimal IT involvement?

• Yes → Copilot Chat (if you have Microsoft 365) or ChatGPT Business
• No, you have IT support and Microsoft licences → Microsoft 365 Copilot

Talk to us about setting up AI

Our recommendation for nonprofits

If your nonprofit uses Microsoft 365, the first step costs nothing: make sure your team uses Copilot Chat with their work accounts instead of free AI tools on personal accounts. That one change closes the biggest data risk most organisations have with AI today.

From there, cost should never outweigh security, especially when you handle donor data, financial records or client information. A data breach can have serious consequences for trust and compliance. Microsoft 365 Copilot costs more than ChatGPT Business at the nonprofit price, but it works inside your Microsoft 365 environment, respects your existing permissions, and plugs into the compliance tools you already use.

Bottom line:

If your nonprofit values data security, governance and workflow integration, Microsoft Copilot is the safer, smarter choice, even for smaller organisations.

Not sure where to start? We can check your Microsoft 365 permissions and set up Copilot Chat for your team.

Back to top

References

• Microsoft 365 Nonprofit Solutions | Microsoft
• Microsoft Copilot Plans and Pricing for Business | Microsoft
• Announcement: Microsoft 365 Copilot Business | Microsoft Tech Community
• Microsoft Copilot Chat privacy and protections | Microsoft Learn
• Microsoft 365 Copilot privacy | Microsoft Learn
• Expanding model choice in Microsoft 365 Copilot | Microsoft 365 Blog
• ChatGPT Business overview | OpenAI Help Center
• OpenAI for Nonprofits | OpenAI Help Center
• More ways to work with your team (ChatGPT connectors) | OpenAI
• Microsoft 365 Copilot Experiment: Cross-Government Findings Report | GOV.UK
• Microsoft 365 Copilot evaluation report: productivity | digital.gov.au
• Experimental evidence on the productivity effects of generative artificial intelligence | Science
• ChatGPT lifts business professionals’ productivity and improves work quality | NN/g
• Microsoft 365 Copilot reviews | Capterra
• Factors influencing the acceptance and use of ChatGPT | Humanities and Social Sciences Communications
• Exploring factors influencing the acceptance of ChatGPT in higher education | PMC
• ChatGPT privacy policy | OpenAI