The concerns arise from two aspects. First, it is “turned on” by default, as per the initial announcement, and can record and store user data without obtaining explicit consent. Second, it does not conceal or hide sensitive data including passwords or financial data, that might appear on your screen.

Device makers are keen to demonstrate that users can run AI models on their local PCs, bypassing the need for cloud-based services from companies like OpenAI. Apple has similarly equipped its latest MacBooks with the ability to run AI models locally.

“However, some generative AI-centric features for CoPilot will require cloud-based processing for tasks like information retrieval, search, or querying,” Shah said. “Ensuring that data remains secure—whether on the device, in transit, or in the cloud—will be a key challenge. This aspect will also be a critical focus and differentiator for companies like Microsoft compared to Apple in the PC space.”