check before: 2026-01-01
Product:
Copilot, Copilot Chat, Microsoft 365 admin center, Microsoft 365 Apps, Microsoft 365 Copilot, Outlook
Platform:
Online, Web, World tenant
Status:
Change type:
Feature update, User impact, Admin impact
Links:
Details:
Summary:
Microsoft 365 Copilot Chat will expand Outlook support to entire inbox and calendar, add Agent Mode in Word, Excel, and PowerPoint using web data and referenced files, and introduce specialized agents powered by Anthropic’s Claude model. Rollout starts January 2026; no admin action required except connecting to Claude.
Details:
[Introduction]
We're introducing new capabilities for Microsoft 365 Copilot Chat users (without a Microsoft 365 Copilot license) to help them better manage their day in Outlook and create and refine Word documents, Excel workbooks, and PowerPoint presentations. These updates include:
Copilot Chat in Outlook will expand from reasoning over a single email thread to reasoning over a user's entire inbox, calendar, meetings, and other enterprise data.
Agent Mode in Word, Excel, and PowerPoint uses web data and referenced files to help users create and refine content in the apps.
Word, Excel, and PowerPoint Agents allow users to create high-quality documents, workbooks, and presentations in Copilot Chat using web data and referenced files.
Please find our Microsoft Ignite announcements here.
[When this will happen:]
We will begin rolling out early January 2026 and expect to complete by late March 2026.
Change Category:
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Scope:
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Release Phase:
Created:
2025-11-19
updated:
2025-11-19
Task Type
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Docu to Check
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MS How does it affect me
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MS Preperations
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MS Urgency
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MS workload name
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summary for non-techies**
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Direct effects for Operations**
Data Privacy Concerns
Using Anthropic's Claude model for data processing outside Microsoft may lead to potential data privacy issues, as data will not be managed under Microsoft's compliance and audit controls.
- roles: Compliance Officer, Data Protection Officer
- references: https://learn.microsoft.com/en-us/copilot/manage#manage--chat-on-the-web-in-the-microsoft-365--app-and-in-outlook
User Confusion
The introduction of new features without adequate training or documentation may lead to user confusion regarding how to effectively utilize Copilot Chat and Agent Mode in their daily tasks.
- roles: End Users, Training Coordinator
- references: https://learn.microsoft.com/en-us/copilot/manage#microsoft-365--chat-eligibility
Integration Issues
Connecting to Anthropic's Claude model may result in integration challenges, leading to disruptions in user workflows if not properly managed prior to rollout.
- roles: IT Support, System Administrator
- references: https://learn.microsoft.com/en-us/copilot/microsoft-365/connect-to-ai-models
Performance Degradation
The expanded capabilities of Copilot Chat may lead to performance issues if the infrastructure is not prepared to handle increased data processing demands.
- roles: IT Operations Manager, Network Administrator
- references: https://learn.microsoft.com/en-us/copilot/manage#pinning-settings-for--chat
Compliance Risks
The use of third-party services like Anthropic may expose the organization to compliance risks if users inadvertently share sensitive information through the new features.
- roles: Compliance Officer, Legal Advisor
- references: https://learn.microsoft.com/en-us/copilot/manage#manage--chat-on-the-web-in-the-microsoft-365--app-and-in-outlook
Configutation Options**
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Opportunities**
Enhanced User Productivity through Copilot Chat
The expansion of Copilot Chat in Outlook to encompass the entire inbox and calendar will allow users to manage their time and tasks more efficiently. Users can easily source information, uncover action items, and manage schedules directly through the chat interface, leading to improved productivity and reduced time spent on email management.
- next-steps: Train users on how to effectively utilize the new Copilot Chat features in Outlook to maximize their productivity. Consider creating a knowledge base or conducting workshops.
- roles: Project Managers, Administrative Assistants, Team Leaders
- references: https://learn.microsoft.com/en-us/copilot/manage#manage--chat-on-the-web-in-the-microsoft-365--app-and-in-outlook, https://learn.microsoft.com/en-us/copilot/manage#microsoft-365--chat-eligibility
Streamlined Document Creation with Agent Mode
The introduction of Agent Mode in Word, Excel, and PowerPoint will streamline the document creation process by leveraging web data and referenced files. This feature can significantly reduce the time spent on drafting and refining documents, enabling users to produce high-quality content faster.
- next-steps: Encourage teams to explore Agent Mode capabilities and integrate it into their workflow. Provide access to resources that explain how to utilize these features effectively.
- roles: Content Creators, Data Analysts, Marketing Teams
- references: https://learn.microsoft.com/en-us/copilot/manage#pinning-settings-for--chat, https://learn.microsoft.com/en-us/copilot/microsoft-365/connect-to-ai-models
Improved Compliance and Data Management Awareness
As the Copilot Chat features utilize Anthropic's Claude model, there is a need for increased awareness and training around compliance and data management. Understanding the implications of using third-party AI services will help mitigate risks associated with data processing outside of Microsoft-managed environments.
- next-steps: Develop a compliance training module for users regarding the use of third-party AI services and data management best practices. Regularly review compliance policies to ensure alignment with new features.
- roles: Compliance Officers, IT Administrators, Legal Teams
- references: https://learn.microsoft.com/en-us/copilot/manage#manage--chat-on-the-web-in-the-microsoft-365--app-and-in-outlook, https://learn.microsoft.com/en-us/copilot/manage#microsoft-365--chat-eligibility
Potentional Risks**
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Data Protection**
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IT Security**
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Hypothetical Work Council Statement**
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DPIA Draft**
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explanation for non-techies**
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** AI generated content. This information must be reviewed before use.
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