July 22, 2025
8 min read

Choosing Between Copilot Studio and AI Builder

A practical framework for costs, throughput, and governance when scaling AI.

AICopilot StudioAI BuilderPower Platform

Choosing Between Copilot Studio and AI Builder

When scaling AI in your Power Platform environment, one of the most common questions I get is: "Should I use Copilot Studio or AI Builder?" The answer isn't straightforward and depends on several factors.

Key Differences

Copilot Studio


  • Best for: Conversational experiences

  • Pricing: Per conversation

  • Integration: Deep Teams/Office integration

  • Governance: Centralized bot management
  • AI Builder


  • Best for: Document processing, prediction models

  • Pricing: Per AI credit/prediction

  • Integration: Embedded in Power Apps/Automate

  • Governance: Follows Power Platform DLP
  • Decision Framework

    1. Use Case Type
    - Conversational → Copilot Studio
    - Document processing → AI Builder
    - Predictive analytics → AI Builder

    2. Volume Considerations
    - High conversation volume → Consider AI Builder custom models
    - Batch processing → AI Builder
    - Real-time chat → Copilot Studio

    3. Governance Requirements
    - Enterprise-wide bot governance → Copilot Studio
    - App-specific AI → AI Builder

    Cost Analysis

    The cost structure varies significantly:

  • • Copilot Studio: $200/month for 25K conversations

  • • AI Builder: $500/month for 1M AI Builder credits
  • Recommendations

    Start with Copilot Studio for conversational AI and AI Builder for form processing. As you scale, evaluate the total cost of ownership including development time, maintenance, and governance overhead.