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Microsoft revamps Copilot with code generation, agentic AI tools

Microsoft adds coding tools and always-on agents to Copilot as it shifts more AI features to usage-based billing, with more than 30 million paid seats reported.

  • On Friday, Microsoft unveiled a redesigned Copilot app featuring Home, Code, and Autopilot tabs, integrating AI chat, coding tools, and autonomous agent management into a single unified interface.
  • Previously, Microsoft's AI tools were fragmented across consumer and enterprise offerings, prompting the company to consolidate services into a so-called "super app" to compete with rivals like Anthropic and OpenAI.
  • The new Code tab lets users build apps and automations in a secure, sandboxed environment, while Autopilot creates custom "digital teammates" with their own memory, identity, and Outlook accounts managed by IT.
  • Microsoft is implementing usage-based billing for Cowork, Code, and Autopilot, moving beyond fixed per-seat subscriptions; CEO Satya Nadella framed this as "per-seat-plus-consumption" pricing evolution.
  • Rollout begins in the coming weeks for Microsoft's Frontier program participants, with broader previews later this year; the company describes the platform as a "new OS for work.
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The company presented one of the major renovations of its artificial intelligence assistant, with three new pillars: Home, Code and Autopilot. The bet seeks to turn Copilot into a platform capable of creating documents and applications, running complex tasks and keeping agents working autonomously in the cloud.

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techpowerup.com broke the news on Thursday, September 24, 2026.
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