The setting in question 'only enables features requiring internet access like co-authoring a document,' Microsoft says.

Microsoft says it isn’t using customer data from its Microsoft 365 apps to train its AI models. The clarification addresses reports circulating online in the last few weeks claiming Microsoft required Word and Excel users to opt out of training the company’s AI systems.

People are increasingly worried about how AI affects them. Will our jobs become obsolete? Are we constantly being tracked online and in the real world? Most recently, people have raised concerns about whether our creative and professional work is being used to train large language models.

Reports that the tech giant is taking user data through its best known business software to train its AIs follows a global crash on Monday.

Confusion over Connected Experiences settings in 365 apps spark concerns Microsoft's Connected Experiences option in its productivity suite has been causing consternation amid accusations that the default setting might allow Microsoft to train AI models using customers' Word and Excel documents and other data.

Microsoft's 'optional' Connected Experiences enable Microsoft to use Excel and Word files to train its AI technology, but it is possible to turn this feature off.