(A) doesn’t align to some important persons vision, who is incentivized have their finger on whatever change comes about
(B) might step on a lot of adjacent stakeholders, and the employees stakeholder may be risk adverse and want to play nice.
(C) higher up stakeholder fundamentally don’t understand the domain they’re leading
(D) the creators don’t want to fight an uphill battle for their idea to win.
I think in the end it's branding. They want people to think "Copilot = AI" but the experience is anywhere from fairly effective to absolute trash. And the most visible applications are absolute trash. It really says something when Ethan Mollick is out there demonstrating that OpenAI is more effective at working with Excel than the built in AI.
There was an article posted here yesterday that said "MS has a lot to answer for with Copilot", and that was the point: MS destroyed their AI brand with this strategy.