Microsoft Copilot AI Chatbot’s Launch Not Impacting OpenAI’s ChatGPT, Analysis Shows
In recent news, there has been a lot of buzz surrounding Microsoft’s new AI chatbot, Copilot, powered by OpenAI technologies. However, according to a new analysis of app store data, the launch of Copilot does not seem to be pulling users away from OpenAI’s own ChatGPT.
- Copilot offers free access to OpenAI’s newer GPT-4 technology, while ChatGPT runs on GPT-3.5 and charges for usage.
- Despite Copilot’s attractive free alternative, it has not yet affected ChatGPT’s installs or revenue – a surprising outcome given its cost.
- This could be attributed to a lack of marketing and promotion for Copilot.
Appfigures Analysis on Copilot’s Launch
Appfigures, a leading app store intelligence provider, conducted a new analysis on Copilot’s launch and theorizes that it may have gone largely unnoticed by potential consumers. This could be due to a few key factors, including:
- The initial launch on Google Play on December 20th did not generate any rankings, likely due to a lack of promotion on the Play Store at the time.
- The app later launched on the App Store on December 28th, but with no usage of Apple’s Search Ads feature to attract iOS users.
- If used, Copilot could have been a top search result for related terms like “AI chatbot” or “ChatGPT”, but Microsoft did not take advantage of this advertising opportunity.
Copilot’s Installation and User Demographics
As of January 5, 2024, Copilot has been downloaded 2.1 million times across iOS and Android devices. On average, Copilot’s daily downloads reached a peak of 413,000, but have since slowed down. On January 5, the app only saw a total of 194,000 installs.
The primary market for Copilot is the U.S., where it has been downloaded by 24% of users. Other major markets include Germany, India, Italy, and the U.K. Interestingly, Copilot’s installation rates are evenly split between iOS and Android – with 59% on Google Play and 41% on the App Store.
Impact on ChatGPT
Appfigures also noted that ChatGPT’s downloads have been declining in December, which started before Copilot’s release. During the time that Copilot gained 2.1 million downloads, ChatGPT gained an additional 4.2 million.
However, there is no evidence to suggest that Copilot’s launch has affected ChatGPT’s revenue, which continues to rise. In fact, as of ChatGPT’s first anniversary in November, its mobile apps had generated almost $30 million in revenue.
While other apps may have found more success in monetizing on mobile, ChatGPT also offers a subscription service that can be purchased on the web – where a majority of users prefer to interact with the AI chatbot. As a result, mobile revenue does not provide the complete picture.
ChatGPT’s Successful Launch and Copilot’s Lack of Attention
ChatGPT’s initial launch was a massive success, with over 500,000 downloads in just 6 days. While this record was later surpassed by Instagram Threads, ChatGPT’s launch was still one of the top-performing app releases in recent years, second only to Truth Social – a Trump-backed app that launched in February 2022.
On the other hand, Copilot’s launch has not received the same level of attention. This could be due to a few reasons, such as:
- ChatGPT already has a dedicated user base that may not be interested in switching to a new chatbot.
- The holiday launch and lack of promotion resulted in many potential users missing the news of Copilot’s arrival.
- Some users may be deterred by the heavily integrated Bing features in Copilot, though it is impossible to determine how many may have considered, and ultimately decided against, downloading the app due to this.
The Current State of Copilot vs. ChatGPT
Despite Microsoft’s launch of Copilot, ChatGPT remains the leading AI chatbot on the market. However, Microsoft is exploring other ways to utilize their AI technology, including integrating a Copilot button on PCs.
