Watchdog Criticizes Microsoft Copilot Ads for Confusing Branding, Unsubstantiated Productivity Claims

The Better Business Bureau's National Advertising Division (NAD) has criticized Microsoft for misleading advertising related to its Copilot AI suite, particularly challenging the validity of productivity and ROI claims. NAD found that while Microsoft cites studies claiming that 67% to 75% of users feel more productive using Copilot, these studies demonstrate perception rather than objective evidence, prompting recommendations to discontinue or modify such claims. The watchdog also highlighted consumer confusion caused by Microsoft's broad and inconsistent use of the 'Copilot' branding across multiple products, including Business Chat, which has different functionalities and requires manual steps not clearly disclosed in advertising. NAD advised Microsoft to clearly disclose the limitations of Business Chat and to clarify its claims about seamless integration and productivity gains. Microsoft, while disagreeing with some findings, has agreed to adjust its advertising messages in response. The criticisms underscore ongoing challenges for Microsoft in communicating the value and functionality of its AI tools amidst branding complexity and security concerns.