How to Enable the Claude Model in Microsoft Copilot for Your Tenant
Microsoft has made Anthropic a subprocessor for Microsoft Online Services, which changes how Claude works inside Microsoft 365 Copilot. The old opt-in flow through the admin center has been replaced by a new model where Claude is on by default for most tenants. This guide covers what changed, what you need to do as an admin, how to disable it if needed, and how users actually access Claude once it is available.
What Changed
Previously, admins had to explicitly opt in to Anthropic's commercial terms through a separate toggle in the admin center. That toggle is being deprecated.
Anthropic is now a Microsoft subprocessor, which means the data handling sits under Microsoft's enterprise commitments rather than a separate Anthropic commercial agreement. The Microsoft Customer Copyright Commitment applies, and data is governed under the same Microsoft Data Protection terms that cover the rest of your Microsoft 365 services.
For most commercial tenants, Anthropic is now enabled by default. You do not need to do anything to turn it on. The exception is EU, EFTA, and UK regions, where it is off by default due to data residency requirements.
Pre-Requisites and Permissions
Before enabling Claude for the tenant, ensure:
- You have global administrator or AI Administrator privileges
Only users in the global administrator role can configure tenant-level AI provider settings. - Your tenant has Microsoft 365 Copilot licenses
Users must have valid Copilot licenses before they can access the Claude model via the Researcher agent. - You understand the data sharing and compliance implications
Because your data will be handled outside Microsoft’s managed environment.
Enable Claude for the Tenant
If Your Tenant Is in a Standard Commercial Region (US, etc.)
Anthropic should already be enabled in your tenant. There is nothing you need to turn on. You can verify this by following the steps below.
- Sign in to the Microsoft 365 admin center at admin.microsoft.com.
- In the left navigation, select Copilot.
- Select Settings > (View All, if needed)
- Look for the AI providers or subprocessors section. You should see Anthropic listed as enabled.
If it is already on, your licensed Copilot users can start using Claude right away through the Researcher agent.
If Your Tenant Is in the EU, EFTA, or UK
Anthropic is off by default in these regions. To enable it, you need to explicitly opt in. You must be a Global Administrator to do this.
- Sign in to the Microsoft 365 admin center at admin.microsoft.com.
- Go to Copilot, then select Settings.
- Find the Anthropic subprocessor setting.
- Toggle it on and confirm the change.
Once enabled, allow a few hours for the setting to propagate across your tenant before testing with a licensed user.
How Users Access Claude
Once Anthropic is enabled at the tenant level, here is how a licensed user switches to Claude in Copilot.
- Open the Microsoft 365 Copilot app at m365copilot.com, or from the desktop app.
- In the left navigation under Agents, select Researcher.
- Inside the Researcher agent, look for the model selector and choose Claude.
Claude is available for the duration of that session. When the user closes the Copilot app or the session ends, Copilot automatically reverts to the default model. The user will need to select Claude again next time if they want to use it.
How to Disable Claude if Needed
If your organization wants to block access to Claude, you can turn off Anthropic as a subprocessor. This requires Global Administrator access.
- Sign in to the Microsoft 365 admin center at admin.microsoft.com.
- Go to Copilot, then Settings.
- Find the Anthropic subprocessor setting and toggle it off.
- Confirm the change.
Once disabled, users will no longer see Claude as an option in the Researcher agent. Some Copilot features that rely on Anthropic models may also become unavailable. Allow a few hours for the change to fully take effect across the tenant.
Note: if you had previously used the legacy opt-in toggle and then turn off Anthropic under the new subprocessor model, the toggle will be set to Off by default if it is re-enabled later. You would need to turn it back on manually.
Group-Based Controls Coming Soon
At the time of writing, the Anthropic setting is tenant-wide. Either all licensed Copilot users can access Claude or none of them can. However, Microsoft has announced that group-based controls are coming, which will let admins enable or disable Anthropic for specific users or Entra ID groups. This is expected to roll out in late April 2026.
Once that is available, you will be able to pilot Claude with a specific team before rolling it out more broadly, or permanently restrict it to certain roles while leaving it available to others.
Data Privacy: What Is Different Now
This is the main thing that changed with the subprocessor model and it is worth understanding.
Under the old setup, when a user invoked Claude, data was processed under Anthropic's separate commercial terms. It was essentially a direct arrangement between your organization and Anthropic.
Under the new subprocessor model, Anthropic processes data on Microsoft's behalf. This means:
- The Microsoft Customer Copyright Commitment applies to Claude outputs just as it does for other Copilot outputs.
- Data is governed under the Microsoft Online Services Data Protection Addendum.
- Microsoft takes on data protection responsibility as the primary processor.
For most organizations this is an improvement from a compliance standpoint because it fits within the existing Microsoft data governance framework rather than requiring a separate review of Anthropic's terms. That said, if your organization is in a regulated industry, it is still worth looping in your legal or compliance team before enabling it, particularly if you are in the EU, EFTA, or UK.
Communicating This to Your Users
Most users who have a Copilot license will not notice Claude is available unless you tell them. It does not appear prominently, and many people who use Copilot every day have not explored the Researcher agent in detail.
A short communication explaining that Claude is now available, how to access it in the Researcher agent, and what it is good for will go a long way. If your organization has any sensitivity around which AI models are used for what types of work, it is worth including guidance on that as well.
Frequently Asked Questions
Is there an extra cost to use Claude in Copilot?
There is no additional Microsoft licensing cost. Claude access is included as part of the Microsoft 365 Copilot license. Under the new subprocessor model, you are not entering a separate commercial agreement with Anthropic.
Can I limit Claude to specific users right now?
Not yet at the tenant level. The setting is currently all-or-nothing for licensed Copilot users. Group-based controls are coming in late April 2026. In the meantime, you can manage expectations through communication and training rather than technical controls.
What happens if I was using the old opt-in toggle?
The old toggle is being deprecated. Microsoft is migrating tenants to the new subprocessor model automatically. If you had opted in previously, your access to Claude should continue under the new model without any action needed. If you had opted out, you may want to check whether Anthropic has been enabled in your tenant since the default behavior has changed.
Does Claude work in Teams or Outlook directly?
Claude is currently available through the Researcher agent in the Microsoft 365 Copilot app. It is also used in certain other Copilot surfaces like Agent Mode in Excel and Word, Excel, and PowerPoint agents where Anthropic models are available as an underlying option. It is not a direct model selector in Teams or Outlook.
What is the Researcher agent?
Researcher is an agent built into Microsoft 365 Copilot that is designed for deep research tasks. It can search the web, pull from your Microsoft 365 data, and synthesize information across sources. It is one of the more capable Copilot features and a good place to try Claude, since Claude tends to perform well on analytical and research-heavy tasks.
Final Thoughts
The shift to the subprocessor model is a meaningful improvement for most organizations because it brings Claude under Microsoft's data governance umbrella rather than sitting outside it. For the majority of commercial tenants, Claude is already available in your tenant right now and your users can start using it today through the Researcher agent.
If you are an admin who previously opted out of Claude for compliance reasons, it is worth revisiting that decision now that the data handling model has changed. And if you are in the EU or UK, you will need to make an explicit choice to opt in if you want your users to have access.
