Microsoft revamps Copilot with new tools, support for frontier models

Microsoft is taking another swing at Copilot, adding new features as it specifically turns the AI feature set into a series of tools designed for work. Branded "new Copilot", it will serve as a mix between a chat, a harness, and a business assistant.

Copilot will now be divided into three sections: Home, Code, and Autopilot. Microsoft pitches Home as a "new starting point," where you organize and connect your meetings, documents, emails, apps, and yes, agents. Effectively, it keeps everyone aligned on projects. The company describes the Home area as mixing Chat and Cowork, its existing agent. The new Copilot is rolling out with Microsoft's Frontier Program for businesses and individual subscribers, allowing early access to features now.

Office will live in the Home section, including Teams threads, calendars, Outlook, and more. You can ask Copilot to build slides, create spreadsheets, or put together documents.

Code is an answer to ChatGPT's Codex and Anthropic's Claude Code. Microsoft is describing the act of vibe coding and building small apps "as basic a skill as writing a memo or modeling a budget." Code is built on the same technology as GitHub Copilot, and is run in a sandboxed environment that can be hosted on your system. With Microsoft's new Copilot Managed Runtime, enterprises will be able to host code in their own Microsoft 365 environment, with Microsoft managing the code.

Autopilot is a rebranding of Scout, a "digital teammate." This is a semi-autonomous agent that you can name and tell what to do, and it will go off on its own to do it. This is designed for recurring work, though Microsoft describes it as being able to do more advanced work, including building schedules, handling meetings, and reaching out to others in an organization.

All of Copilot uses Microsoft IQ, designed to set a business context for agents to follow by giving them a framework about how AI should work in your organization. By the end of the month, Microsoft expects to launch a plugin registry to add functionality, in a catalog managed by IT administrators.

For managing spending, Microsoft's subscription license will give you Copilot in chat across Office, while an "Auto" mode will consider accuracy, speed, and cost to pick a model for other jobs. Organizations can use usage-based billing to pick which models they want to use based on cost. "Cowork, Code, and Autopilot; new long-running agentic capabilities; and frontier models like Astra and Fable all run on UBB," Microsoft chief marketing officer for AI at Work, Jared Spataro, wrote in a blog post.

Copilot may not be as exciting to individual developers and at-home enthusiasts as some other AI platforms, but it's clear Microsoft is revamping to take another shot at making its AI tools the most popular for businesses.