How Microsoft’s OneGov Makes Copilot Possible (and Affordable)
Imagine you’re the CIO of a midsize federal agency. Your team is buzzing with excitement about the potential of AI, but you’re facing a familiar dilemma: how do you deliver innovation when your budget is already stretched thin? You’ve watched as other organizations unlock new levels of productivity with Microsoft Copilot, but the cost has always seemed just out of reach.
Until now.
With the launch of Microsoft’s OneGov agreement, a door opens that was previously closed. Suddenly, you can provide Copilot to every Microsoft 365 G5 user in your agency—at no cost for the first year, and with deep discounts for years to come. The dream of agency-wide AI isn’t just possible—it’s practical, and it’s within your grasp.
But what does this really mean for your agency’s bottom line, and how can you make the most of this opportunity?
Unlocking Unprecedented Value
As you dig into the details, the OneGov agreement reveals a compelling value proposition. Agencies can add Copilot to every Microsoft 365 G5 license at no cost for the first year, followed by significant discounts for both Copilot and M365 G5 licenses in years two and three. This isn’t just a one-year teaser—it’s a strategic runway, giving you time to include these AI costs into your future budgets as you measure Copilot’s impact on your operations.
While the OneGov agreement includes discounts on other Microsoft services, let’s focus on what matters most for your agency’s productivity: M365 and Copilot.
Microsoft OneGov M365 & Copilot Discount Highlights
| Year | M365 G5 Discount | Copilot Discount |
|---|---|---|
| One | Current Price | No Cost |
| Two | 25% Off | 50% Off |
| Three | 25% Off | 25% Off |
| Eligibility | GCC, GCC High, DOD (excl. Secret/Top-Secret). Contract must start by Sept 30, 2026. | |
Seeing the Impact: A Midsize Agency’s Journey
Let’s put these numbers into perspective. Picture your agency with 1,000 users. Under the old GSA Schedule, adding Copilot would have cost nearly $370,000 a year—a price that made widespread AI adoption feel out of reach.
But with OneGov, the story changes dramatically. In year one, Copilot costs you nothing. In years two and three, the savings continue. Over three years, your agency could save nearly $1 million compared to pre-OneGov pricing.
| Year | M365 G5 Licenses | Copilot Licenses | Total | Cost Savings |
|---|---|---|---|---|
| Pre-OneGov | $644,040 | $369,430 | $1,013,470 | — |
| Year One | $644,040 | $0 | $644,040 | $369,430 |
| Year Two | $483,800 | $184,715 | $667,745 | $345,725 |
| Year Three | $483,800 | $277,072 | $760,102 | $253,367 |
| Total Savings | $968,522 | |||
More Than Discounts: Support for Success
But the OneGov story doesn’t end with cost savings. Microsoft is also investing at least $20 million to help agencies like yours succeed with Copilot—offering technical workshops, training, and cost-optimization guidance at no additional cost. These designated resources are only available through the OneGov agreement, ensuring your team isn’t just equipped with new tools, but empowered to use them effectively.
And when it comes to implementation, Planet Technologies stands ready as your trusted Microsoft solution provider, supporting your Copilot implementation journey every step of the way.
Leveling the Playing Field: Step Up for All
Perhaps your agency currently uses a mix of M365 G3 and G5 licenses. With OneGov, you can “Step Up” those G3 licenses to G5 at a 70% discount in year one, unlocking Copilot for everyone. No more dividing your workforce into “haves” and “have nots”—now every employee can access the same AI capabilities. After the first year, these Step Up licenses follow the same discount schedule as the G5 license.
Planning for the Future: Strategic Decision-Making
From my own experience in federal budgeting, I know the anxiety that comes with short-term discounts. How do you plan for year two and beyond? Microsoft’s three-year discount ramp solves this problem, giving you time to build AI costs into future budgets while you evaluate Copilot’s impact across your workforce. With real usage data, you can decide whether to continue broad deployment or focus AI licenses on specific roles in the years ahead.
The Bottom Line
Microsoft’s OneGov offering is more than a discount—it’s a strategic opportunity to accelerate AI adoption while minimizing budget impact by building on the Microsoft 365 foundation your agency already owns. The window is open, but only until September 2026—making now the perfect opportunity to integrate Copilot into your workforce and position your agency for long-term AI success.
About the Author
Guy Cavallo, Chief Innovation Officer, Planet Technologies
Guy Cavallo is an award-winning technology transformation leader with a distinguished career in both public and private sectors. Recognized for driving innovation in government IT, he has received numerous accolades, including the prestigious Distinguished Presidential Rank Award, multiple Federal 100 and FedScoop 50 awards, and recognition as a top government IT leader. A successful entrepreneur and industry thought leader, he has been featured in publications and contributed to major IT modernization efforts on a national scale.
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Learn More
- YouAlreadyOwnIt®
- Planet’s Microsoft Copilot Flight Plan Enablement Program
- Evolve 365
- Planet’s Microsoft Expertise
- Planet’s Microsoft Accelerators
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