Microsoft replaces GPT-4 with GPT-4 Turbo in Copilot's free tier; Copilot Pro subscribers got GPT-4 Turbo in December 2023 and can still use the older GPT-4
John Callaham / Neowin :
Context & Ripple Effects
Microsoft had already begun rolling GPT-4 Turbo into Copilot in December, alongside Code Interpreter and Bing Deep Search, and then positioned access to the latest models as part of Copilot Pro's $20-per-month offering.
The free-tier change extends that model rollout to Copilot’s broader consumer base while preserving an older GPT-4 option for Pro subscribers. It tests how much of Copilot’s paid proposition can rest on model choice versus surrounding product features.
First-order effects
- Free Copilot users move from GPT-4 to GPT-4 Turbo, bringing Microsoft’s newer default model to its no-cost audience.
- Copilot Pro subscribers retain GPT-4 Turbo and keep access to the older GPT-4, making model selection an explicit paid-tier distinction.
Second-order effects
- The upgrade narrows the raw-model gap between free Copilot and Pro, increasing the importance of Pro features such as Office integration and custom Copilot GPT creation that Microsoft introduced with the subscription.
- Microsoft can use the free tier as a wider distribution channel for its newer model stack, following its earlier rollout of GPT-4- and DALL-E 3-powered Copilot apps on mobile.
Third-order effects
- Consumer AI subscriptions may increasingly differentiate through workflow integration, controls, and choice of models rather than permanently reserving the newest base model for paying users.
- This is an instance of capability tiering: leading models can move quickly into free products, while paid plans must continuously redefine their value through adjacent capabilities.
The trend: AI assistants are shifting toward rapid model commoditization in free tiers, with subscriptions competing on integrated work surfaces and premium controls.