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Perform basic administrative tasks for Copilot and agents

Copilot Access, Licensing, Billing, and Settings

Choose between assigned monthly licensing and usage-based access, then manage tenant settings and costs in the appropriate surface.

What you need to know

  • A Microsoft 365 Copilot license is assigned to named users and unlocks licensed work-grounded and in-app capabilities subject to prerequisites.
  • Usage-based/pay-as-you-go services meter eligible Copilot or agent use through billing or spending policies connected to Azure billing.
  • The Microsoft 365 admin center Copilot Control System exposes supported user-access, data-access, action, billing, and other settings.
  • Not every Copilot capability has a tenant toggle; use only documented controls.

Objects and administrative surfaces

  • Product licenses and service plans — Microsoft 365 admin center.
  • Billing/spending policies, budgets, usage, and Copilot settings — Microsoft 365 admin center Copilot area.
  • Azure subscription/resource group — billing relationship for supported metered services.

How it works

  • Assigned licensing provides entitlement to a named user; usage-based access bills eligible consumption for users/groups in policy scope.
  • A budget notification is not necessarily a hard stop; current spending-policy controls should be read in their documented context.

When to use it

  • Use named licensing for users who need the full licensed experience and usage-based access for supported metered scenarios or populations.
  • Use supported Copilot settings rather than attempting to govern source data with a feature toggle.

Security and governance implications

  • Scope policies to intended groups, monitor consumption, and use least-privileged Billing or AI administrative roles.
  • Do not teach temporary prices; validate current licensing prerequisites and meters.

Troubleshooting signals

  • Check base eligibility, license/service-plan assignment, policy scope, billing connection, and feature setting.
  • Separate an entitlement failure from a source-permission or service-health issue.

Exam traps

  • A billing-policy budget alert does not automatically prove usage is blocked.
  • Pay-as-you-go does not bypass Microsoft 365 permissions.

Key takeaways

  • Named entitlement → license; eligible metered access → usage-based policy.
  • Manage access and cost without weakening the data boundary.

Related objectives

  • D3.1.b
  • D3.1.c
  • D3.2.a
  • D3.2.b

Free Microsoft 365 Copilot and Agent Administration Fundamentals prep

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