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Microsoft 365 & Copilot: Data protection in the company

Microsoft 365 is standard in many companies, and Copilot is joining them. Data protection compliant - if the framework is right.

BlueOcean Privacy AI 2 min read

Is M365 data protection compliant?

In a Business/Enterprise tenant with a Data Processing Agreement (DPA) and an EU Data Boundary, M365 can be operated in compliance with data protection regulations.

Microsoft provides Data Protection Addenda (DPAs) and EU Data Boundary for data storage within the EU. Tenant configuration and permissions are key.

Copilot in detail

Copilot accesses company data to which the user already has access – this makes incorrect permissions visible and highlights them as a critical issue.

Before the Copilot rollout, access rights should be sorted out (no ‘everyone can see everything’ situation). Prompts containing particularly sensitive data require clear rules.

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Configuration & rules

Data protection hinges on the settings: data storage location, telemetry, permissions and a brief usage policy.

  • DPA enabled, EU Data Boundary verified.
  • Permissions/least privilege before Copilot.
  • Policy: which data is permitted in prompts.

Conclusion

M365 and Copilot can be operated in compliance with regulations – with a DPA, proper configuration and clear rules.

We can help you set up the necessary framework (contracts, privacy policy, website tracking) properly. A quick chat is all it takes to get an overview.

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FAQ

Is Microsoft 365 GDPR compliant?

Yes, in the Business/Enterprise tenant with a data processing agreement and an EU Data Boundary. The tenant configuration is key.

Can Copilot be used in compliance with data protection regulations?

Yes, provided that access rights are properly configured and there are clear rules governing what data can be included in prompts. Copilot only displays information that the user already has access to.

Do I need an AV contract with Microsoft?

Yes, the Microsoft DPA forms part of the Online Services Terms and should be documented.