Here’s What’s New in Copilot Wave 3
If you use Microsoft 365 every day, you’ve probably noticed that Copilot hasn’t stood still.It’s been evolving in the background, gradually becoming more embedded in the way Word, Excel, Outlook and the rest of your tools work.
If you use Microsoft 365 every day, you’ve probably noticed that Copilot hasn’t stood still.It’s been evolving in the background, gradually becoming more embedded in the way Word, Excel, Outlook and the rest of your tools work.
Microsoft tends to roll these changes out in “waves”, which is their way of grouping together bigger updates rather than releasing everything at once. We’re now into the latest phase… and this one feels a little different. Earlier versions of Microsoft Copilot were mostly about helping you. Drafting emails, summarizing documents, creating presentations. Useful, time-saving features that still relied on you to guide every step.
Now, the focus is shifting. Instead of just helping with tasks, Copilot is starting to take on more responsibility within workflows. One of the biggest changes is the ability to create your own AI agents inside Microsoft 365. In simple terms, that means you can build small, task-focused assistants that handle specific parts of your day. Think of something that can manage repetitive processes, follow a set of rules, and carry out actions without needing constant input.
That opens up some interesting possibilities. You could have an agent helping with routine admin, keeping documents organized, or supporting internal processes. Alongside that, Copilot’s chat experience has become more capable. You can now make changes to documents, emails, spreadsheets and presentations directly from a conversation, without jumping between different screens.
There’s also a new layer being introduced called “Work IQ”. That’s Microsoft’s way of helping Copilot understand your business context better. It uses your business’s data, communication patterns and internal content to make responses more relevant to how your team works. In theory, that means less generic output and more tailored support.
Microsoft is also expanding the underlying AI models Copilot can use, bringing in technology from different providers. You don’t need to worry about the technical side of that, but it does mean the system should become more flexible and capable over time.
Looking slightly ahead, there’s another feature worth keeping an eye on. Something called “Copilot coworker”, which is currently being tested. This takes the idea of AI agents further, allowing them to carry out longer, multi-step processes rather than just responding to a single request. So instead of asking for help with one task, you could assign something more involved and let it run.
To support all of this, Microsoft is also introducing tools to help businesses manage these agents properly. That includes visibility over what they’re doing, how they’re being used, and how they fit into your wider systems. Which is important, because as Copilot becomes more powerful, it needs to be properly controlled.
If you’d like help understanding how to use these changes safely and effectively, get in touch.
Published with permission from Your Tech Updates.