Nov. 12, 2025

STOP Building Cloud Flows! Use Agent Flows Instead

STOP Building Cloud Flows! Use Agent Flows Instead

Cloud Flows vs Agent Flows: The Budget Bombshell Microsoft Hoped You’d Miss
You’re building automations like it’s 2019 and it’s quietly draining your budget. The premium connector trap turns one small flow into a company-wide license bill. Hidden API throttling slows down your automations without warning. AI Builder double-pay means you’re getting charged twice for one result. Agent Flows include premium and custom connectors with no extra tax. Real math: 300 actions cost about forty cents. Learn when to use Agent Flows versus Cloud Flows and how to convert old Cloud Flows into Agent Flows—it’s one-way. Message-based billing ends surprise invoices. One model charges you for existence, the other charges you for work. If it starts in chat, is personal, or spikes in usage, use Agent Flows. If it’s shared, scheduled, or cross-team, use Cloud Flows. Save your budget, save your weekend, and stop paying for idle automation.

🔍 Key Topics Covered 1) The Hidden Price Tag of Cloud Flows

  • Why “build an Automated Cloud Flow” often means “start a licensing tab.”
  • Premium connector ripple effect: add Dataverse/SQL/Salesforce and everyone touching the flow may need premium.
  • API call quotas & throttling: the invisible brake on your “set it and forget it” automations.
  • AI Builder double-pay: automation fees here, AI credits there—two currencies, one outcome: sprawl.

2) Enter Agent Flows — Automation with a Copilot Brain

  • Lives in Copilot Studio; billed by messages/actions, not by who uses it.
  • Premium & custom connectors included under consumption.
  • AI capabilities (classification, extraction, summarization) aligned to the same credit pool.
  • Triggers from conversation, intent, or signals—automation that interprets before it executes.

3) When Agent Flows Replace Cloud Flows (and When They Don’t)

  • Use Agent Flows for chat/intent-driven, personal, or AI-assisted tasks where usage is bursty and user-specific.
  • Keep Cloud Flows for shared, scheduled, multi-owner orchestration across teams.
  • Migration path: make the Cloud Flow solution-aware → switch plan to Copilot Studio → it becomes an Agent Flow (one-way).
  • Governance parity: drafts, versions, audit logs, RBAC—now inside Copilot Studio.

4) The Math: Why Consumption Wins

  • Cloud Flows = “buffet priced per person.” Great if maxed; wasteful if idle.
  • Agent Flows = “à la carte per action.” Costs scale linearly with actual work.
  • Transparent cost tracing by flow, connector, and hour; predictable quotas; no surprise overages.
  • Optimization matters: consolidate actions, reduce chat hops, and you literally pay less.

5) Strategy Shift — Automation Goes AI-Native

  • Cloud Flows built the highways; Agent Flows drive themselves along them.
  • Consolidate small, conversational automations into Copilot Studio to reduce double-licensing.
  • Treat every automation as a service inside an intelligent platform, not a one-off per-user asset.
  • Roadmap reality: AI-native orchestration becomes the default entry point; Cloud Flows remain the backend muscle.

🧠 Key Takeaways

  • Cloud Flows automate structure; Agent Flows automate intelligence.
  • If it starts in Copilot/chat, is personalized, or spiky in usage—move it to Agent Flows.
  • If it’s shared, scheduled, cross-team infrastructure—Cloud Flows still shine.
  • Message-based billing converts licensing drama into straight arithmetic.
  • Make “solution-aware” your default; design with governance, versioning, and quotas in mind.

🎯 Who Should Listen

  • Power Platform makers tired of hitting premium walls.
  • IT leaders/CFOs chasing cost control and clean licensing.
  • Automation architects moving to AI-native orchestration.
  • Ops leaders who want predictable spend and audit-ready governance.

🧩 Practical Checklist: Pick the Right Flow

  • Trigger is conversational or AI-driven? → Agent Flow
  • Needs premium connectors but limited users? → Agent Flow (consumption)
  • Shared, scheduled, cross-department approvals? → Cloud Flow
  • Long-running batch or high-visibility orchestration? → Cloud Flow
  • Desire tight cost tracing & quotas? → Agent Flow in Copilot Studio

🎧 Listen & Subscribe If this episode saved your budget—or your weekend—follow the show and turn on notifications. New episodes land like a well-governed quota: predictable, clean, on time.



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Transcript

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You keep building cloud flows like it's still 2019.

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Everyone does its muscle memory at this point.

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Open Power Automate, select Automated Cloudflow,

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pick your trigger, chain a few connectors,

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hit save and feel productive.

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Unfortunately, you've just constructed a very expensive habit.

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Because every time you do this under the old licensing model,

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you're paying premium for the plumbing

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Microsoft has already decided to replace.

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The problem isn't the flow itself,

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it's the license that drags behind it like an anchor.

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Cloud flows live under per user or per flow plans,

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both tied to execution limits,

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connector classifications and enough small print

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to qualify as bedtime reading.

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Add a single premium connector like Dataverse, SQL,

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or Salesforce, and congratulations.

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You've just promoted everyone who touches that process

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into the premium licensing tier.

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Translation, one department's automation

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becomes another department's budget crisis.

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And yes, cloud flows are reliable.

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They've automated half the modern enterprise,

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but that reliability comes with fiscal inflammation.

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Per user fees, duplicated AI, builder credits,

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throttled API calls, and a delightful surprise

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when you realize automation costs more in licenses

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than the task you automated.

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You think you're saving labor,

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you're just moving the cost column

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from salaries to subscriptions.

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The revelation is that inside co-pilot studio

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lives a new kind of automation, agent flows.

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These run on message-based billing, not per user taxation.

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They include premium connectors by default

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and borrow AI builders' intelligence

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without charging double.

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They scale like a meter, utility, not like a fixed payroll.

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Before you build another cloud flow,

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let's dissect why the old system bleeds money

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and why the new one behaves like a responsible adult.

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What cloud flows actually cost you?

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Cloud flows operate on the power automate licensing matrix.

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A structure so intricate, it deserves a power BI dashboard

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just to survive it.

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The basic idea is simple.

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You pay per user or you pay per flow.

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Both strategies sound fair until you notice how fast

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fair metastasizes into financial absurdity.

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Under aceded license like Microsoft 365, E3 or E5,

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you get access to standard connectors.

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Outlook teams, SharePoint, Fine.

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But the moment your data wonders into premium territory,

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Dataverse, School Server, Salesforce ServiceNow,

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you trigger the premium tax.

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One premium connector doesn't just mark your flow as special.

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It radiates expense outward.

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Everyone who runs owns or even glances at that flow

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now needs an upgraded license.

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The flow that sends meeting summaries suddenly

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requires enterprise sponsorship.

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Picture this.

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One HR assistant builds a flow that connects to Dataverse

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to compile onboarding data.

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20 managers use it.

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By the end of the fiscal quarter,

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you've effectively turned one workflow into 20 premium licenses.

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Each between $15 and $40 a month, multiply that by departments,

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and you've just automated yourself into modern debt.

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Your CFO is not impressed.

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Then there's API call throttling,

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the invisible choke collar hiding

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in every power automate plan.

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Each license grants a defined number of daily API calls.

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Essentially, how many times your flow can talk to a service?

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Each re-user's get a few thousand premium plans

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get more but each transaction still burns through the quota.

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Hit the ceiling and flows slow or fail.

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It's a productivity tax disguise as a performance safeguard.

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Analogy time.

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Cloud flows are like giving every employee their own taxi

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and paying the lease whether they drive or not.

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The meter runs even when parked.

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Agent flows which will dissect shortly

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work more like a ride share.

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You pay only for trips taken.

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The difference isn't subtle.

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It's structural.

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And we haven't even tallied the hidden duplication

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of AI builder credits.

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Want to extract data from an invoice?

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Recognize text in a document.

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That's AI builder.

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And its credits are built separately,

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even if you've already paid for power automate premium.

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You maintain two parallel currency systems.

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One for automation, another for intelligence.

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Elegant in the same way paying rent

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and home owner's association fees simultaneously

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is efficient.

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Operationally, Cloud flows create what

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I like to call license sprawl.

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Every new scenario threatens to spin out

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another license type, another set of API counters,

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another spreadsheet tracking compliance.

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Enterprises end up managing the license inventory

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with more rigor than the processes those flows were meant

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to automate.

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So while Cloud flows remain technically brilliant,

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financially they're undomesticated.

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They consume per user fees, throttle API volume,

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and breed complexity with every premium connector added.

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For small teams that might be tolerable,

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for a large organization, it's a slow hemorrhage.

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Now enter the new species, Agent flows,

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running on a completely different metabolism.

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Enter Agent flows, automation, with a co-pilot brain.

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Agent flows don't live in power automates old neighborhood.

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They've moved into co-pilot studio,

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which runs on entirely different physics.

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Instead of being chained to a user license,

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they operate on the principle of message consumption.

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Every action you take, every API call your automation makes,

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consumes tiny measurable units called messages.

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And you're not paying for who built it or who runs it,

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you're paying for what it actually does.

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Radical, I know, charging for usage instead of possession.

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So how does this work in practice?

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Each 100 API calls cost roughly 13 cents.

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That's it, run 1,000 actions, about $1,000,

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no hidden multipliers tied to how many people touch the flow,

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no forced upgrades just to unlock data,

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verse or SQL connectors.

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In Agent flows, premium is no longer a caste system.

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It simply included.

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The result is an automation model that scales linearly,

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predictably, and sanely.

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For once your finance department and your tech team

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speak the same language, consumption equals cost.

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And then there's architecture.

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Cloud flows run in power automates,

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tenant-level workflow engine,

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designed for persistence, sharing, and human trigger events.

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Agent flows live inside co-pilot studios AI runtime.

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Their triggers are conversations, AI events,

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or back-end signals from services.

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Anything from user asked me to draft a contract

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to someone enter data that matches this condition.

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They are orchestrated intelligence, not mechanical automation,

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which is why they're called Agent flows.

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Each one extends your co-pilot's brain

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with executable memory.

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Here's the big philosophical difference.

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Cloud flows automate labor.

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Agent flows automate decision making.

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A Cloud flow might move files from SharePoint to OneDrive.

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And Agent flow decides which files matter,

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summarizes them using AI builder,

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and posts the relevant pieces to teams,

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charging only for the execution steps it actually performs.

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The more intelligence embedded,

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the more return per message consumed.

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Access to premium and custom connectors

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comes standard here.

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Co-pilot studio doesn't discriminate

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between standard and premium.

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Whether you tap Dataverse, a third-party API,

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or a custom connector, it still just counts as messages.

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You break free of the connector class hierarchy.

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Developers suddenly regain the freedom

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to architect efficiently instead of chasing

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the cheapest permissible connector.

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And because the entire environment sits under co-pilot studio,

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AI builder capabilities, text recognition, prediction,

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document extraction are included

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under the same consumption model.

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Those extra AI credits you were tracking in Excel,

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gone, they're baked into the meal.

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Think of this as switching from buying every employee,

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a company car, to issuing them right credits.

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You manage by budget, not by ownership.

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If one project spikes temporarily, say a seasonal campaign,

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you scale up message usage for that window

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and stop paying when demand abs.

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You're no longer provisioning horse power for a year

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just to cover next week's sprint.

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By 2025, message counts themselves

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will migrate into co-pilot credits.

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Similar idea, fancier wrapper.

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You'll buy credit packs the same way

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cloud provider sell compute units,

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measured, enforceable, transparent.

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Co-pilot studio even tracks your hourly and daily quotas,

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caps requests at configurable limits,

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and begins throttling at roughly 125% capacity

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to prevent runaway costs.

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It's the governance cloud flows always needed

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but never delivered out of the box.

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The takeaway is simple.

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Agent flows replace licensing anxiety with arithmetic.

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You know exactly what you're consuming,

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you know exactly how it's built,

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and you gain access to every intelligent building block

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in co-pilot studio without additional paperwork.

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It's speed, with accountability,

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a kind of automation that finally behaves

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like a responsible adult.

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When agent flows replace cloud flows and when they don't.

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Think of power platform automation

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now as a society with a division of labor.

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Cloud flows are the industrial workforce.

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Efficient, standardized, designed for volume.

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Agent flows are the brains, adaptive, conversational,

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and run on caffeine in the form of co-pilot messages.

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The trick is knowing when you need muscle

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and when you need intellect.

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Agent flows dominate when automation begins in conversation.

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Anything that starts with a co-pilot prompt,

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a chat or a service event is their home turf.

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For example, suppose someone asks co-pilot

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for the five open deals from Salesforce

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where close dates slipped last week.

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That's an agent flow trigger.

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It interprets queries, formats, and returns results

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all while charging you by the message, not by user.

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Same if co-pilot detects a pattern in data

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or needs to call a custom connector mid-diolog.

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These flows are one-to-one interactions.

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00:08:21,160 --> 00:08:24,520
A user or an AI agent initiates and consumes them.

230
00:08:24,520 --> 00:08:27,840
That's where message-based billing makes mathematical sense.

231
00:08:27,840 --> 00:08:31,400
Cloud flows in contrast remain the backbone for coordination,

232
00:08:31,400 --> 00:08:33,720
processes that stretch across multiple accounts,

233
00:08:33,720 --> 00:08:36,120
shared folders, or departmental approvals.

234
00:08:36,120 --> 00:08:38,640
If 10 managers need the same workflow running on files

235
00:08:38,640 --> 00:08:42,720
in SharePoint or approvals in Teams, Cloud flows still win.

236
00:08:42,720 --> 00:08:44,080
Their licensing may be expensive,

237
00:08:44,080 --> 00:08:46,320
but their architecture supports shared ownership,

238
00:08:46,320 --> 00:08:48,120
scheduled runs, and complex triggers

239
00:08:48,120 --> 00:08:50,040
that don't depend on conversation.

240
00:08:50,040 --> 00:08:52,640
They remain essential for enterprise-scale orchestration

241
00:08:52,640 --> 00:08:54,560
where automation acts like infrastructure

242
00:08:54,560 --> 00:08:55,720
rather than assistance.

243
00:08:55,720 --> 00:08:57,160
The clean way to think about it,

244
00:08:57,160 --> 00:09:00,240
agent flows are personal assistance born inside AI.

245
00:09:00,240 --> 00:09:03,240
Cloud flows are corporate assembly lines hosted in the cloud,

246
00:09:03,240 --> 00:09:06,360
converting one to the other isn't as mystical as it sounds.

247
00:09:06,360 --> 00:09:09,040
You start by making your cloud flow solution aware.

248
00:09:09,040 --> 00:09:11,040
That means moving it from the personal workspace

249
00:09:11,040 --> 00:09:13,080
into a managed solution in Dataverse.

250
00:09:13,080 --> 00:09:15,480
Once there, a drop-down appears for its plan.

251
00:09:15,480 --> 00:09:17,440
Power Automate or co-pilot studio.

252
00:09:17,440 --> 00:09:19,360
Flip that switch and the flow migrates

253
00:09:19,360 --> 00:09:21,200
into co-pilot studio's environment.

254
00:09:21,200 --> 00:09:23,320
The licensing instantly changes from per user

255
00:09:23,320 --> 00:09:24,400
to consumption-based.

256
00:09:24,400 --> 00:09:26,280
From that moment forward, your build-in message

257
00:09:26,280 --> 00:09:27,160
is not monthly fees.

258
00:09:27,160 --> 00:09:29,000
However, and here is the design choice

259
00:09:29,000 --> 00:09:32,080
Microsoft enforces that conversion is irreversible.

260
00:09:32,080 --> 00:09:33,800
Once it drinks the agent flow potion,

261
00:09:33,800 --> 00:09:35,280
it stays an agent flow.

262
00:09:35,280 --> 00:09:36,760
The system won't let you switch it back

263
00:09:36,760 --> 00:09:38,640
without rebuilding it from scratch.

264
00:09:38,640 --> 00:09:41,520
This commitment exists to keep the billing model clean.

265
00:09:41,520 --> 00:09:43,920
It's like moving into a gated AI city.

266
00:09:43,920 --> 00:09:46,280
You don't just visit the suburbs on weekends.

267
00:09:46,280 --> 00:09:49,080
You live under new governance, new metrics, and new economics.

268
00:09:49,080 --> 00:09:51,200
This is where many admins hesitate.

269
00:09:51,200 --> 00:09:54,200
The old reflexes keep critical flows in power automate.

270
00:09:54,200 --> 00:09:55,360
They're stable.

271
00:09:55,360 --> 00:09:58,120
Yet co-pilot studio now introduces governance features

272
00:09:58,120 --> 00:10:00,520
previously reserved for managed environments.

273
00:10:00,520 --> 00:10:02,760
Draft-saving, version history, audit logs,

274
00:10:02,760 --> 00:10:05,280
controlled publishing, suddenly the AI neighborhood

275
00:10:05,280 --> 00:10:07,600
looks more compliant than the traditional one.

276
00:10:07,600 --> 00:10:10,560
Agent flows bring enterprise hygiene, history tracking,

277
00:10:10,560 --> 00:10:13,240
role-based permissions, predictable quota enforcement,

278
00:10:13,240 --> 00:10:14,840
all in the same window where you design

279
00:10:14,840 --> 00:10:16,200
intent-based automation.

280
00:10:16,200 --> 00:10:17,840
So where's the cut-off line?

281
00:10:17,840 --> 00:10:20,360
Use agent flows when trigger, logic, or execution

282
00:10:20,360 --> 00:10:23,840
depends on conversation, interpretation, or AI cognition.

283
00:10:23,840 --> 00:10:26,160
Use cloud flows when coordination, repetition,

284
00:10:26,160 --> 00:10:29,480
and visibility across users matter more than intelligence.

285
00:10:29,480 --> 00:10:32,760
The distinction isn't superiority, it's purpose.

286
00:10:32,760 --> 00:10:35,400
One automates thought, the other automates structure.

287
00:10:35,400 --> 00:10:36,440
And here's the irony.

288
00:10:36,440 --> 00:10:39,720
Many organizations are already paying for both without realizing it.

289
00:10:39,720 --> 00:10:42,800
Co-pilot studio capacity silently includes automation

290
00:10:42,800 --> 00:10:45,120
headroom, yet teams keep buying separate power

291
00:10:45,120 --> 00:10:46,520
automate premium plans.

292
00:10:46,520 --> 00:10:48,280
Migrating lightweight or chat triggered

293
00:10:48,280 --> 00:10:51,400
processes into agent flows prevents double taxation.

294
00:10:51,400 --> 00:10:53,760
The result, same capability, cleaner budget,

295
00:10:53,760 --> 00:10:55,400
all this talk about cost and capability

296
00:10:55,400 --> 00:10:57,680
matters only when you can measure the difference.

297
00:10:57,680 --> 00:10:59,360
And spoiler, you can.

298
00:10:59,360 --> 00:11:02,400
Because the math isn't theoretical, it's mercilessly concrete.

299
00:11:02,400 --> 00:11:05,680
So let's quantify what cheaper and smarter really means.

300
00:11:05,680 --> 00:11:08,040
The math of cost efficiency, numbers don't lie,

301
00:11:08,040 --> 00:11:10,600
they just wait patiently while users misunderstand them.

302
00:11:10,600 --> 00:11:12,320
So let's translate the economics of power

303
00:11:12,320 --> 00:11:13,960
automate into something measurable.

304
00:11:13,960 --> 00:11:15,520
Cloud flows pretend to be cheap,

305
00:11:15,520 --> 00:11:18,160
because the sticker price hides behind a monthly license.

306
00:11:18,160 --> 00:11:20,600
But when you multiply that license by real usage,

307
00:11:20,600 --> 00:11:22,760
the number of users, runs, and premium connectors

308
00:11:22,760 --> 00:11:24,440
involved the illusion collapses.

309
00:11:24,440 --> 00:11:25,840
Take a standard premium plan.

310
00:11:25,840 --> 00:11:28,000
$15 to $40 per user per month.

311
00:11:28,000 --> 00:11:29,640
Seems tolerable until you realize you're

312
00:11:29,640 --> 00:11:31,360
paying that regardless of how many runs

313
00:11:31,360 --> 00:11:32,720
those users actually trigger.

314
00:11:32,720 --> 00:11:34,640
It's the all-access buffet model.

315
00:11:34,640 --> 00:11:36,320
Pay once, consume infinitely.

316
00:11:36,320 --> 00:11:39,000
Or in most cases, barely touch the plate.

317
00:11:39,000 --> 00:11:41,800
You're subsidizing the employees who automate rarely,

318
00:11:41,800 --> 00:11:44,000
while the heavy users hit throttling ceilings halfway

319
00:11:44,000 --> 00:11:46,440
through the business day, economically absurd,

320
00:11:46,440 --> 00:11:48,480
but predictable in legacy software models

321
00:11:48,480 --> 00:11:50,480
built for perpetual subscription revenue.

322
00:11:50,480 --> 00:11:52,080
Now, contrast that with agent flows.

323
00:11:52,080 --> 00:11:53,760
Every action inside an agent flow

324
00:11:53,760 --> 00:11:55,560
consumes a fraction of a message.

325
00:11:55,560 --> 00:11:57,800
Microsoft's math roughly equates 100 actions

326
00:11:57,800 --> 00:11:59,840
or API calls to 13 cents.

327
00:11:59,840 --> 00:12:02,240
So a process that loops through 100 records

328
00:12:02,240 --> 00:12:04,320
and executes three actions per record

329
00:12:04,320 --> 00:12:06,840
performs 300 API calls.

330
00:12:06,840 --> 00:12:09,600
Multiply by that conversion rate, 300 divided

331
00:12:09,600 --> 00:12:13,200
by 100 equals three message units, which equals about 39 cents.

332
00:12:13,200 --> 00:12:14,360
That's the entire run cost.

333
00:12:14,360 --> 00:12:16,280
Not per user, not per month, per execution.

334
00:12:16,280 --> 00:12:18,800
Run it daily for a month, and you spend around $12.

335
00:12:18,800 --> 00:12:21,320
Run it once a quarter, and it's literally pocket change.

336
00:12:21,320 --> 00:12:22,760
The beauty is linearity.

337
00:12:22,760 --> 00:12:25,680
Message-based consumption scales directly with workload.

338
00:12:25,680 --> 00:12:27,320
Double the records, double the spend.

339
00:12:27,320 --> 00:12:29,120
No hidden tiers, no forced plan upgrades

340
00:12:29,120 --> 00:12:30,920
to unlock extra API calls.

341
00:12:30,920 --> 00:12:32,480
Cloudflows, meanwhile, punish you

342
00:12:32,480 --> 00:12:33,960
with step-function expenses.

343
00:12:33,960 --> 00:12:35,800
Hit a threshold, upgrade the license,

344
00:12:35,800 --> 00:12:37,440
and pray procurement approves it

345
00:12:37,440 --> 00:12:40,800
before end of day automation failures start pinging teams.

346
00:12:40,800 --> 00:12:43,440
The message model eliminates that cliff entirely.

347
00:12:43,440 --> 00:12:45,640
The thing of Cloudflows as the all you can eat buffet

348
00:12:45,640 --> 00:12:48,120
priced per diner, find if every seat is full,

349
00:12:48,120 --> 00:12:51,120
financially ruinous when half the chairs are empty.

350
00:12:51,120 --> 00:12:52,800
Agent flows are a la carte.

351
00:12:52,800 --> 00:12:54,680
Pay only for the bites taken.

352
00:12:54,680 --> 00:12:56,560
The outcome is proportional economics.

353
00:12:56,560 --> 00:12:58,840
Finally, suddenly architecture meetings

354
00:12:58,840 --> 00:13:01,480
sound less like text planning and more like engineering again.

355
00:13:01,480 --> 00:13:03,880
You design for efficiency, not license avoidance.

356
00:13:03,880 --> 00:13:06,400
This clarity extends beyond pure arithmetic.

357
00:13:06,400 --> 00:13:08,560
Copilot Studio locks every agent flow message

358
00:13:08,560 --> 00:13:11,240
displaying consumption by our trigger and connector type.

359
00:13:11,240 --> 00:13:13,480
You can trace costs spikes to specific automations

360
00:13:13,480 --> 00:13:15,800
instead of estimating next quarter's bill.

361
00:13:15,800 --> 00:13:18,800
Cloudflows, you get API call bundles scattered across user

362
00:13:18,800 --> 00:13:21,640
accounts like airline miles, impossible to consolidate

363
00:13:21,640 --> 00:13:23,160
before they expire.

364
00:13:23,160 --> 00:13:25,160
One produces actionable telemetry.

365
00:13:25,160 --> 00:13:28,000
The other produces spreadsheets labeled current guess.

366
00:13:28,000 --> 00:13:30,760
Even governance adopts math as morality here.

367
00:13:30,760 --> 00:13:34,040
Copilot Studio enforces quotas, messages per hour,

368
00:13:34,040 --> 00:13:38,520
per day, per month, hit 125% of your purchase capacity,

369
00:13:38,520 --> 00:13:40,520
and it halts new executions.

370
00:13:40,520 --> 00:13:42,640
No surprise invoices, no ghost usage.

371
00:13:42,640 --> 00:13:44,720
Administrators appreciate predictable ceilings

372
00:13:44,720 --> 00:13:46,320
more than budgetary heart attacks.

373
00:13:46,320 --> 00:13:49,840
You can always buy additional copilot credits, granular,

374
00:13:49,840 --> 00:13:52,320
measurable packs that match genuine demand.

375
00:13:52,320 --> 00:13:54,840
That's Cloud Economics behaving responsibly for once.

376
00:13:54,840 --> 00:13:56,120
Design strategy changes too.

377
00:13:56,120 --> 00:13:58,040
Developers now think like economists.

378
00:13:58,040 --> 00:14:00,720
A sloppy loop that makes five redundant API calls costs

379
00:14:00,720 --> 00:14:03,400
real money, combine actions efficiently,

380
00:14:03,400 --> 00:14:05,280
and you have the expense.

381
00:14:05,280 --> 00:14:07,120
Optimization isn't theoretical anymore.

382
00:14:07,120 --> 00:14:08,520
It's financial hygiene.

383
00:14:08,520 --> 00:14:11,280
Modern automation equals computational thrift, rare

384
00:14:11,280 --> 00:14:13,520
sentence but satisfying to say aloud.

385
00:14:13,520 --> 00:14:16,080
And when copilot credits fully replace raw messages

386
00:14:16,080 --> 00:14:19,560
expected soon, the system stays the same, just more unified.

387
00:14:19,560 --> 00:14:21,320
Credits become the universal currency

388
00:14:21,320 --> 00:14:23,240
across all copilot experiences.

389
00:14:23,240 --> 00:14:25,000
Your team spends from one account,

390
00:14:25,000 --> 00:14:27,280
whether you're powering AI builders, prompts, or agent

391
00:14:27,280 --> 00:14:30,400
flows, the accountant doesn't care which service consumed them.

392
00:14:30,400 --> 00:14:32,880
It all funnels through the same predictable consumption

393
00:14:32,880 --> 00:14:33,480
ledger.

394
00:14:33,480 --> 00:14:36,880
So after you've seen this math, the question shifts radically.

395
00:14:36,880 --> 00:14:39,120
It's no longer, should I migrate to agent flows?

396
00:14:39,120 --> 00:14:40,520
It's why haven't we?

397
00:14:40,520 --> 00:14:42,560
Because sticking with cloud flows is like paying

398
00:14:42,560 --> 00:14:44,960
a monthly gym membership for every employee

399
00:14:44,960 --> 00:14:46,880
instead of buying a treadmill per use.

400
00:14:46,880 --> 00:14:49,960
Agent flows build a heartbeat, not the heartbeat's owner.

401
00:14:49,960 --> 00:14:52,720
39 cents never looked so liberating.

402
00:14:52,720 --> 00:14:55,960
The strategic shift automation becomes AI native.

403
00:14:55,960 --> 00:14:57,840
For years, Microsoft Power Automate

404
00:14:57,840 --> 00:14:59,760
set at the center of enterprise workflows.

405
00:14:59,760 --> 00:15:02,040
It was the plumbing routing data from A to B

406
00:15:02,040 --> 00:15:04,920
while employees set on top improvising the logic.

407
00:15:04,920 --> 00:15:07,720
But when Microsoft introduced copilot studio and agent flows,

408
00:15:07,720 --> 00:15:08,920
the subtext was clear.

409
00:15:08,920 --> 00:15:10,880
Automation is no longer a mechanical layer.

410
00:15:10,880 --> 00:15:12,400
It's becoming an intelligent organ.

411
00:15:12,400 --> 00:15:13,600
That's not marketing fluff.

412
00:15:13,600 --> 00:15:16,360
It's a tectonic redefinition of what automation even

413
00:15:16,360 --> 00:15:18,880
means inside the Microsoft ecosystem.

414
00:15:18,880 --> 00:15:20,840
Cloud flows were designed back when automation

415
00:15:20,840 --> 00:15:22,760
was a glorified macro recorder.

416
00:15:22,760 --> 00:15:25,520
Humans triggered things, systems executed, done.

417
00:15:25,520 --> 00:15:28,120
They functioned like highways, wide, predictable,

418
00:15:28,120 --> 00:15:29,240
built for volume.

419
00:15:29,240 --> 00:15:31,480
But copilot studio shifts the lane entirely.

420
00:15:31,480 --> 00:15:32,920
Agent flows are self-driving.

421
00:15:32,920 --> 00:15:36,360
They don't need you to schedule or manually press run.

422
00:15:36,360 --> 00:15:38,360
The interpret context trigger themselves,

423
00:15:38,360 --> 00:15:40,680
evaluate data and even reformulate actions

424
00:15:40,680 --> 00:15:42,280
through natural language models.

425
00:15:42,280 --> 00:15:44,520
Their automation plus cognition and Microsoft

426
00:15:44,520 --> 00:15:45,680
has made it very clear.

427
00:15:45,680 --> 00:15:47,760
This is the new architectural North Star.

428
00:15:47,760 --> 00:15:51,080
Every major Microsoft product now has a copilot inside it.

429
00:15:51,080 --> 00:15:53,880
Word, Outlook, Dynamics, Teams, each of them

430
00:15:53,880 --> 00:15:57,800
runs intelligent agents that make small autonomous decisions.

431
00:15:57,800 --> 00:15:59,440
Agent flows are the connective tissue

432
00:15:59,440 --> 00:16:01,040
uniting those brain cells.

433
00:16:01,040 --> 00:16:03,200
Instead of dozens of cloud flows pinned

434
00:16:03,200 --> 00:16:06,480
between different apps, you now have one intelligent substrate

435
00:16:06,480 --> 00:16:09,200
running inside copilot studio, coordinating tasks

436
00:16:09,200 --> 00:16:11,320
for every copilot across your tenant.

437
00:16:11,320 --> 00:16:14,360
The automation layer migrates out of user control panels

438
00:16:14,360 --> 00:16:17,000
and into a single AI native orchestration brain.

439
00:16:17,000 --> 00:16:18,600
This isn't just a design evolution,

440
00:16:18,600 --> 00:16:20,560
it's license strategy in disguise.

441
00:16:20,560 --> 00:16:22,320
By segregating classic automation

442
00:16:22,320 --> 00:16:25,400
from AI native automation, Microsoft aligns billing

443
00:16:25,400 --> 00:16:26,520
with capability.

444
00:16:26,520 --> 00:16:28,400
Cloud flows stay under power automate,

445
00:16:28,400 --> 00:16:31,240
a world of per user plans and enterprise scaling fees.

446
00:16:31,240 --> 00:16:34,560
Agent flows live in copilot studio, inside copilot's message

447
00:16:34,560 --> 00:16:35,840
or credit economy.

448
00:16:35,840 --> 00:16:37,960
The strategic message, automation that relies

449
00:16:37,960 --> 00:16:40,680
on intelligence should inherit the business model of AI,

450
00:16:40,680 --> 00:16:42,680
not the relic of legacy workflow engines

451
00:16:42,680 --> 00:16:44,240
and the governance realities.

452
00:16:44,240 --> 00:16:46,800
Once the final refuge of stick with what we know

453
00:16:46,800 --> 00:16:48,680
have also migrated, draft saves,

454
00:16:48,680 --> 00:16:50,920
versioning audit logs, controlled publishing,

455
00:16:50,920 --> 00:16:52,680
agent flows ship with them.

456
00:16:52,680 --> 00:16:55,680
Features companies use to justify power automate premium plans

457
00:16:55,680 --> 00:16:58,440
now appear by default when you build in copilot studio.

458
00:16:58,440 --> 00:17:00,520
Microsoft didn't just replicate power automates,

459
00:17:00,520 --> 00:17:03,240
safety rails, they rebuilt them for conversational data

460
00:17:03,240 --> 00:17:04,280
aware agents.

461
00:17:04,280 --> 00:17:06,560
The result is governance that finally keeps pace

462
00:17:06,560 --> 00:17:08,360
with modern AI deployment practices

463
00:17:08,360 --> 00:17:09,760
instead of lagging behind them.

464
00:17:09,760 --> 00:17:11,520
Enterprise implications profound.

465
00:17:11,520 --> 00:17:13,560
Moving small automations, reminder bots,

466
00:17:13,560 --> 00:17:15,640
simple approvals, look up queries,

467
00:17:15,640 --> 00:17:18,560
into agent flows, unclogs power automate capacity.

468
00:17:18,560 --> 00:17:21,440
It's like re-roating commuter traffic to autonomous lanes

469
00:17:21,440 --> 00:17:23,160
so freight trucks can move freely.

470
00:17:23,160 --> 00:17:25,560
By merging these micro flows under copilot,

471
00:17:25,560 --> 00:17:28,040
departments slash redundant per user licenses

472
00:17:28,040 --> 00:17:30,920
and free power automate for the heavy industrial workflows

473
00:17:30,920 --> 00:17:32,560
it was born to handle.

474
00:17:32,560 --> 00:17:35,560
The result is both financial and infrastructural efficiency.

475
00:17:35,560 --> 00:17:37,080
We can see where this road ends.

476
00:17:37,080 --> 00:17:38,760
Agent flows will continue absorbing

477
00:17:38,760 --> 00:17:40,760
cloud flow functionality, schedule triggers,

478
00:17:40,760 --> 00:17:42,960
batch processing, multi-user visibility

479
00:17:42,960 --> 00:17:44,920
until the distinction becomes semantic.

480
00:17:44,920 --> 00:17:46,760
But the direction of travel is irreversible

481
00:17:46,760 --> 00:17:50,200
because AI-driven orchestration already fits user behavior better.

482
00:17:50,200 --> 00:17:53,160
People talk to copilot, they don't navigate flow galleries.

483
00:17:53,160 --> 00:17:55,200
And as copilot orchestrates across teams,

484
00:17:55,200 --> 00:17:57,920
chats, outlook messages and dynamics transactions,

485
00:17:57,920 --> 00:18:00,600
it's only natural that automation exists there too.

486
00:18:00,600 --> 00:18:02,720
Cloud flows will survive, but as back in infrastructure,

487
00:18:02,720 --> 00:18:04,600
not the face of enterprise automation.

488
00:18:04,600 --> 00:18:06,160
The analogy writes itself,

489
00:18:06,160 --> 00:18:08,680
cloud flows build the highways, agent flows,

490
00:18:08,680 --> 00:18:10,040
drive themselves along them.

491
00:18:10,040 --> 00:18:13,200
And every iteration gets cheaper, safer and more autonomous.

492
00:18:13,200 --> 00:18:16,080
The strategic shift is complete the moment you stop thinking

493
00:18:16,080 --> 00:18:18,720
when should I use copilot and start assuming

494
00:18:18,720 --> 00:18:20,920
every process will start with it.

495
00:18:20,920 --> 00:18:24,480
One last warning for the accountants, duplication kill savings.

496
00:18:24,480 --> 00:18:26,360
Many enterprises now pay twice,

497
00:18:26,360 --> 00:18:29,240
once for power automate premium to run cloud flows

498
00:18:29,240 --> 00:18:31,120
and again for copilot studio capacity

499
00:18:31,120 --> 00:18:33,920
that could have run the same automations message-based.

500
00:18:33,920 --> 00:18:36,280
It's licensing Deja Vu with a hidden search charge,

501
00:18:36,280 --> 00:18:38,320
clean architecture means clean billing,

502
00:18:38,320 --> 00:18:40,800
consolidate your automations where the intelligence lives,

503
00:18:40,800 --> 00:18:42,120
not where history did.

504
00:18:42,120 --> 00:18:44,040
So the next time someone in a meeting says,

505
00:18:44,040 --> 00:18:47,400
just make a flow, correct them, ask calmly which kind,

506
00:18:47,400 --> 00:18:48,560
cloud or agent.

507
00:18:48,560 --> 00:18:51,280
One costs by existence, the other costs by performance.

508
00:18:51,280 --> 00:18:54,000
The difference is not academic, it's fiscal Darwinism.

509
00:18:54,000 --> 00:18:55,840
The future is message-based.

510
00:18:55,840 --> 00:18:59,920
Cloud flows automate work, agent flows automate intelligence.

511
00:18:59,920 --> 00:19:02,640
That's the evolutionary jump, Microsoft just formalized.

512
00:19:02,640 --> 00:19:05,680
The future of automation isn't armies of user license processes

513
00:19:05,680 --> 00:19:07,240
running on monthly retainers.

514
00:19:07,240 --> 00:19:10,080
It's adaptive agents build exactly for what they do.

515
00:19:10,080 --> 00:19:12,600
Every message consumed is a measurable unit of thought,

516
00:19:12,600 --> 00:19:14,080
not a lump sum guessing game.

517
00:19:14,080 --> 00:19:16,800
The simplicity is sublime, no connector cast system,

518
00:19:16,800 --> 00:19:18,400
no separate AI builder credits,

519
00:19:18,400 --> 00:19:21,640
no throttling panic at 1159 pm when a license quota resets.

520
00:19:21,640 --> 00:19:23,520
Just clear consumption-based economics

521
00:19:23,520 --> 00:19:25,160
that let you scale automation,

522
00:19:25,160 --> 00:19:28,080
the same way you scale compute or storage on demand,

523
00:19:28,080 --> 00:19:30,480
auditable and undercentralized governance.

524
00:19:30,480 --> 00:19:32,160
The stubborn will cling to cloud flows,

525
00:19:32,160 --> 00:19:35,680
convinced predictability lies in per user licensing.

526
00:19:35,680 --> 00:19:38,400
They'll keep paying fixed rent for square footage they don't use.

527
00:19:38,400 --> 00:19:38,880
Fine.

528
00:19:38,880 --> 00:19:40,320
Some people still buy DVDs,

529
00:19:40,320 --> 00:19:42,200
but the professionals chasing efficiency

530
00:19:42,200 --> 00:19:44,240
will migrate to where intelligence lives.

531
00:19:44,240 --> 00:19:45,760
Inside co-pilot studio,

532
00:19:45,760 --> 00:19:48,400
because that's where automation stops being a cost center

533
00:19:48,400 --> 00:19:49,760
and becomes a multiplier.

534
00:19:49,760 --> 00:19:52,320
Agent flows don't ask you to abandon power automate.

535
00:19:52,320 --> 00:19:53,800
They ask you to evolve it.

536
00:19:53,800 --> 00:19:56,600
Build the infrastructure where AI already resides.

537
00:19:56,600 --> 00:19:59,280
Treat every automation as a service within a thinking platform,

538
00:19:59,280 --> 00:20:00,840
not a tool hanging off the side,

539
00:20:00,840 --> 00:20:03,600
that's how enterprises scale cognition, not just activity.

540
00:20:03,600 --> 00:20:06,840
Keep paying per user if inefficiency brings you comfort.

541
00:20:06,840 --> 00:20:10,680
Otherwise move to message-based automation and pay for value, not vanity.

542
00:20:10,680 --> 00:20:13,800
If this explanation saved your budget or your sanity,

543
00:20:13,800 --> 00:20:15,920
repay the favor efficiently.

544
00:20:15,920 --> 00:20:18,640
Subscribe, turn on notifications.

545
00:20:18,640 --> 00:20:21,640
Let the next update arrive like a scheduled task.

546
00:20:21,640 --> 00:20:24,320
On time, clean and effortless.

547
00:20:24,320 --> 00:20:26,280
Knowledge delivered conversation over.