Microsoft Copilot vs Cursor
Microsoft Copilot and Cursor are both AI assistants tools. Microsoft Copilot is aimed at enterprise and small businesses, while Cursor is aimed at developers and small businesses. Cursor costs less, from $8/mo versus $9.99/mo for Microsoft Copilot. Both have a free plan.
AI assistant inside Windows and Microsoft 365
AI-first code editor with agents, now owned by SpaceX
| Pricing | Freemium · $10 | Freemium · $8 |
| Starting price | $9.99/mo | $8/mo |
| Free plan | Yes | Yes |
| Free trial | — | — |
| Built for | Enterprise, Small businesses | Developers, Small businesses, Enterprise, Freelancers |
| Platforms | web, macos, windows, ios, android | macos, windows, linux, web |
| Country | US · 2023 | US · 2022 |
| Rating | — | — |
Choose Microsoft Copilot if
Organizations standardized on Microsoft 365.
- Deep integration where people already work
- Enterprise-grade security and compliance
- Uses organizational context
Look elsewhere if: Google Workspace teams (Gemini) or individuals who prefer ChatGPT or Claude.
Choose Cursor if
Professional developers and engineering teams who want an AI agent built into the editor rather than bolted on.
- Agent workflow is among the most mature in any code editor
- Familiar VS Code interface with near-zero migration effort
- Fast, accurate Tab completion that many developers rate above rivals
Look elsewhere if: Developers who want Tab completion inside JetBrains or Vim, or teams that need predictable flat pricing for Claude and GPT models (GitHub Copilot, Claude Code).
Microsoft Copilot vs Cursor pricing
Microsoft Copilot
- Copilot (free)$0Limited free version subject to capacity
- Microsoft 365 Personal$9.99/mo$99.99/yr; Copilot in Word, Excel, PowerPoint, Outlook
- Microsoft 365 Family$12.99/mo$129.99/yr; 1-6 people, AI for owner only
- Microsoft 365 Premium$19.99/mo$199.99/yr; extensive Copilot usage, agentic AI
- Microsoft 365 Copilot Business$25.20/user/moAdd-on; $21 paid yearly (promo $18 to 31 Dec 2026)
Cursor
- Free$0Limited agent and chat requests
- Plus$8/moShared Grok, Cursor and X pool; Grok models only
- Premium$30/mo4x Plus usage, cloud agents, Bugbot code reviews
- Super$100/mo15x Plus usage, priority model access at peak times
- Ultra$200/mo50x Plus usage, earliest access to new models
Microsoft Copilot · Key features
- Copilot in Word, Excel, PowerPoint, Outlook, Teams
- Grounded in Microsoft Graph work data
- Meeting recaps and action items in Teams
- Copilot Studio for custom agents
- Enterprise data protection
- Free consumer Copilot with web grounding
Cons
- Per-user business add-on is expensive
- Quality depends on permissions and data hygiene
- Uneven experience across apps
Cursor · Key features
- Tab autocomplete that predicts multi-line edits and the next cursor jump
- Agent mode that edits many files and runs terminal commands
- Cloud agents that work on tasks in parallel in remote sandboxes
- Bugbot automated code review on GitHub pull requests
- Codebase indexing so chat and agents understand the whole repo
- Project Rules, skills and MCP servers to shape agent behavior
Cons
- Third-party models such as Claude and GPT cost extra at API prices
- Plus plan only offers Grok models
- Pricing has changed repeatedly, including a 2025 backlash over Pro limits
Microsoft Copilot vs Cursor: FAQ
Which is cheaper, Microsoft Copilot or Cursor?
Cursor starts at $8/mo and Microsoft Copilot at $9.99/mo. Both prices are checked on the vendors' own pricing pages.
Do Microsoft Copilot and Cursor have a free plan?
Yes, both Microsoft Copilot and Cursor have a free plan; paid plans add more usage and features.