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Microsoft and Barclays Bank sign major Copilot license deal

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Agreement would be worth tens of millions per year

Microsoft Copilot 50th anniversary event build up
(Image credit: Microsoft)
  • Barclays has reportedly agreed to purchase over 100k Copilot licenses
  • Microsoft has signed multiple similar deals with other companies like Siemens
  • The firm is set to invest $80 billion into AI this year alone

Microsoft recently announced in a town hall meeting that it has signed an agreement with Barclays bank, in which it will provide 100,000 Copilot AI assistance licenses.

Microsoft’s Chief Commercial Officer Judson Althoff recently revealed to company town hall attendants, “multiple dozen” customers have over 100,000 Copilot users, including Volkswagen, Siemens, and Toyota - deals which could each bring in tens of millions per year for Microsoft.

The official price of a single license is $30 per month, but large deals such as the rumored Barclays agreement are likely to come with a discount.

Spending billions, making millions

Microsoft has invested heavily into AI, and is forecast to spend $80 billion on the technology in 2025, and the tens of millions made in these deals are unlikely to make a dent into the firm’s spending.

The company refused to comment on the Barclays deal when TechRadar Pro reached out.

The two companies have a history of working together, with The Register noting they agreed a multi-year deal for Microsoft Teams usage back in August 2022.

Microsoft CEO Satya Nadella has emphasized a focus on user engagement over pure sales statistics, and despite remaining profitable, Microsoft has announced largescale layoffs, with between 6,000 and 7,000 jobs worldwide expected to be cut - equating to almost 3% of the firm’s workforce - just two years after 10,000 personnel were made redundant (5% of the workforce).

"We continue to implement organizational changes necessary to best position the company for success in a dynamic marketplace," a company spokesperson confirmed.

“This was not about people failing. It was about repositioning for what comes next,” Nadella said at the time, who went on to stress that where Copilot is concerned, “adoption is key” - arguing that organisations need to fully integrate the assistant technology into their daily workflows in order to unlock its full potential.

Via Bloomberg

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Ellen Jennings-Trace
Ellen Jennings-Trace
Staff Writer

Ellen has been writing for almost four years, with a focus on post-COVID policy whilst studying for BA Politics and International Relations at the University of Cardiff, followed by an MA in Political Communication. Before joining TechRadar Pro as a Junior Writer, she worked for Future Publishing’s MVC content team, working with merchants and retailers to upload content.

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