Microsoft Pushes AI Adoption: Employee Evaluations to Include AI Tool Usage

Reviewed byNidhi Govil

2 Sources

Microsoft is reportedly encouraging managers to evaluate employees based on their use of AI tools, making AI adoption a key factor in performance reviews. This move aims to boost internal usage of Microsoft's AI services, particularly Copilot.

Microsoft's Push for AI Adoption

Microsoft Corporation is taking a bold step to accelerate the adoption of artificial intelligence (AI) within its workforce. According to leaked internal communications, the tech giant is now encouraging managers to evaluate employees based on their use of AI tools, particularly its in-house Copilot services 12.

The New Mandate

Julia Liuson, Corporate Vice President of Microsoft's Developer Division, has reportedly issued a memo stating, "AI is now a fundamental part of how we work. Just like collaboration, data-driven thinking, and effective communication, using AI is no longer optional -- it's core to every role and every level" 12. This directive signals a significant shift in how Microsoft views AI integration in its day-to-day operations.

Source: pcgamer

Source: pcgamer

Performance Evaluations and AI Usage

While performance expectations at Microsoft vary across teams, some are considering incorporating a formal metric related to the use of internal AI tools in performance evaluations for the upcoming fiscal year 2. This move has raised eyebrows, with some interpreting it as Microsoft resorting to the "stick" of employee reviews to drive AI tool adoption 1.

The Rationale Behind the Decision

Microsoft's decision appears to be driven by several factors:

  1. Slow Internal Adoption: The company aims to address what it perceives as a slow uptake of its Copilot AI services among employees 2.

  2. User Experience Insights: By encouraging developers to use the tools they create, Microsoft hopes to gain better insights into the user experience 1.

  3. Competitive Pressure: The AI coding services market is becoming increasingly competitive, with rivals like Cursor reportedly overtaking GitHub Copilot in certain market segments 2.

Challenges and Controversies

Despite Microsoft's push, the adoption of AI tools, particularly Copilot, faces several challenges:

  1. User Resistance: Some Windows users have labeled Copilot as "bloatware," expressing frustration over its default installation in Windows 11 1.

  2. Security Concerns: The Copilot Recall feature, which uses AI to "remember" user activity, has faced backlash over privacy and security issues 1.

  3. Market Share: As of 2025, ChatGPT boasts around 400 million active users, while Copilot has only 33 million 1.

Implications for the Tech Industry

Source: Benzinga

Source: Benzinga

Microsoft's new mandate underscores the growing importance of AI in the tech industry. By making AI usage a performance metric, the company is not only promoting the adoption of its own AI tools but also preparing its workforce for an increasingly AI-driven future 2.

This move could potentially give Microsoft an edge in the competitive AI market, but it also raises questions about the balance between technological advancement and employee autonomy. As AI continues to reshape the workplace, other tech companies may follow suit, making AI proficiency an essential skill for tech workers across the industry.

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