Copilot Data & Privacy Issues

How to Opt Out of AI and Copilot Using Microsoft 365 Data

Tauseeq Magsi Oct 19, 2026 869 views

Question details

Users are concerned about their personal and business documents being used to train Microsoft 365 AI models and want to know how to opt out of Copilot and other AI data collection.

How to Opt Out of AI and Copilot Using Microsoft 365 Data

Product: Microsoft 365
Device & OS: not provided
Scenario: Managing data privacy and restricting AI features from accessing sensitive documents in Microsoft Office.
Observed behavior: Users want to disable AI features or ensure their private documents are not used for AI training, seeking specific privacy settings or admin policies to restrict AI processing.

Before you start

Ensure you have administrator privileges if you intend to disable Copilot for an entire organization, and review your current Microsoft 365 licensing terms regarding data privacy.

Solution 1Recommended

Disable Optional Connected Experiences in Office Settings

Turn off optional connected experiences in your Office privacy settings to limit data sent to Microsoft for AI features.

Microsoft 365 includes various AI-powered features, such as predictive typing and advanced grammar checking, that rely on cloud processing. Disabling optional connected experiences restricts these features from processing your data.

Open Office Account Settings

Open any Microsoft 365 application, such as Word or Excel. Click on 'File' in the top-left corner and select 'Account' (or 'Office Account' depending on your version).

Access Privacy Settings

Under the Account Privacy section, click on the 'Manage Settings' button.

Disable Connected Experiences

Scroll down to the 'Optional connected experiences' section. Uncheck the box that allows Office to use optional connected experiences.

Restart Microsoft 365

Click 'OK' to save your changes, then completely close and restart your Microsoft 365 applications for the privacy settings to take effect.

Disable Optional Connected Experiences in Office Settings

Feature Limitations: Disabling connected experiences may also turn off other cloud-based features, such as real-time co-authoring, cloud fonts, and certain document translation tools.

Solution 2

Manage AI Features via Microsoft 365 Admin Center

IT Administrators can manage and turn off Copilot features for the entire organization using Microsoft 365 policies.

Free Microsoft Office alternative

Switch to WPS Office for a Lightweight, Privacy-Focused Alternative

If you are concerned about mandatory AI integrations and background data processing in Microsoft 365, consider switching to WPS Office. It provides a secure, lightweight, and highly compatible alternative for handling your documents without the overhead of unwanted AI services.

1. Download WPS Office: Visit the official WPS Office website and download the free installation package for your operating system.
2. Install the Software: Run the downloaded installer and follow the simple on-screen instructions to set up the software securely on your local device.
3. Open Your Office Files: Launch WPS Office and directly open or drag-and-drop your existing Microsoft Office files to continue working immediately.

Full compatibility with Microsoft Word, Excel, and PowerPoint formats without data conversion loss.Lightweight installation with robust offline capabilities for enhanced data privacy.Free to use with a familiar, user-friendly interface requiring no learning curve.Customizable settings to give you full control over connected features and local document protection.

microsoft office alternative - wps office

Frequently Asked Questions

Does Microsoft 365 Copilot use my business data to train its foundation models?

Microsoft has stated that for commercial customers, prompts, responses, and Microsoft Graph data are not used to train their foundation AI models. However, the AI does process your data temporarily to generate local responses based on your existing user permissions.

What is the Office16 ai.exe process and can I disable it?

The ai.exe process in Office16 is a local background component used for intelligent features like advanced grammar checking and predictive typing. You can limit its activity by disabling 'Optional connected experiences' in your Office Account Privacy settings.

Will turning off Copilot or connected experiences delete my existing data?

No, disabling Copilot or AI connected experiences only prevents the AI tools from processing or accessing your data moving forward. Your existing files stored in OneDrive, SharePoint, or locally remain completely untouched and fully accessible to you.

Microsoft Copilot Issues