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.

Microsoft tends to roll these changes out in "waves," grouping bigger updates together rather than releasing everything at once. We're now into the latest phase, and this one feels a little different.

From Helping You to Working Alongside You

Earlier versions of Copilot were mostly about assisting: 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.

Building Your Own AI Agents

One of the biggest changes is the ability to create your own AI agents inside Microsoft 365. In simple terms, that means building small, task-focused assistants that handle specific parts of your day, managing repetitive processes, following a set of rules, and carrying out actions without needing constant input.

That opens up some interesting possibilities, from an agent helping with routine admin to one keeping documents organized or supporting internal processes.

A More Capable Chat Experience

Copilot's chat experience has also become more capable. You can now make changes to documents, emails, spreadsheets, and presentations directly from a conversation, without jumping between different screens.

Understanding Your Business Context

There's also a new layer being introduced called "Work IQ," 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 actually 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.

What's Coming Next

Looking slightly ahead, there's another feature worth watching called "Copilot coworker," 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. Instead of asking for help with one task, you could assign something more involved and let it run.

Keeping It Under Control

To support all of this, Microsoft is also introducing tools to help businesses manage these agents properly, including visibility over what they're doing, how they're being used, and how they fit into your wider systems. That matters, 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.

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