Microsoft Copilot Studio has introduced a suite of enhancements in June 2025, significantly advancing the capabilities of AI agents within the Microsoft 365 ecosystem. These updates focus on expanding knowledge integration, refining agent development tools, and bolstering administrative controls, thereby empowering users to create more intelligent and responsive agents.
Enhanced Knowledge Integration in Agent Builder
A pivotal update is the augmentation of the agent builder within Microsoft 365 Copilot, enabling agents to access a broader array of knowledge sources. Agents can now reference Outlook emails and Teams messages, encompassing group chats, channels, meeting chats, and directly uploaded files. This integration allows agents to deliver more contextually relevant responses by tapping into the rich information embedded in daily communications and shared documents. For instance, an IT support agent can now utilize internal policy documents, email threads, and technical discussions to provide accurate assistance. Additionally, the builder suggests pertinent knowledge sources based on recent activities and queries, streamlining the process of connecting agents to the necessary data. These features are generally available to users with a Microsoft 365 Copilot Chat license or an active pay-as-you-go plan.
Organized Knowledge Management with File Grouping
Building upon the earlier introduction of file collections, Copilot Studio now offers file grouping capabilities, currently in preview. This feature allows users to name and describe file sets and provide group-specific instructions that guide agent retrieval behavior. By organizing files into groups such as internal HR policies or product-specific documentation, users can instruct agents to reference specific groups under certain conditions. This structured approach enhances the management of extensive knowledge bases within Microsoft Dataverse, facilitating more precise and context-aware agent responses. To utilize this feature, users can navigate to "Add Knowledge" in Copilot Studio, upload multiple files, and enable grouping with customized instructions.
Streamlined Tool Management for Agent Development
The Tools tab in Copilot Studio has undergone a significant overhaul to provide a more centralized and intuitive experience for managing agent tools. Users can now access all tools in one unified view, including connections to Outlook, SharePoint, SAP, Snowflake, custom connectors, and Microsoft Power Automate flows. The updated interface simplifies the discovery and addition of prebuilt connector actions, enabling agents to perform tasks like sending emails, updating records, or scheduling meetings with minimal setup. Enhanced input widgets, such as calendar controls and file pickers, along with IntelliSense integration, facilitate efficient tool configuration. Improved debugging tools, including clearer error messages, assist in quickly identifying and resolving issues, thereby reducing friction in building and managing agent capabilities.
Advanced Prompt Building with Power Fx Integration
The prompt builder tool has been enhanced to allow the incorporation of Microsoft Power Fx logic directly within prompt inputs. This integration enables dynamic calculations, text formatting, and collection manipulations without the need for separate variables. For example, users can insert the current date, clean up input text, or reference memory tables to provide relevant context within prompts. Additionally, prompt evaluation and testing features are now in public preview, allowing users to upload or generate test cases, run batch evaluations, and review accuracy scores and detailed results. These updates transform the prompt builder into a comprehensive workspace for creating, testing, and refining prompts, facilitating faster iteration and more reliable outcomes.
Regular Expressions Support in Power Fx
Copilot Studio now supports the use of industry-standard regular expressions (regex) within Power Fx formulas, enhancing text parsing and validation capabilities. This feature allows users to match, extract, and manipulate complex text patterns, facilitating tasks such as extracting tracking numbers, validating email addresses, or calculating durations from structured text. Previously, these tasks required extensive text functions or limited entity configurations; now, with support for IsMatch, Match, and MatchAll functions, users can achieve the same results more efficiently. This update is particularly beneficial for integrations, dynamic data inputs, and advanced business logic, offering precision and flexibility in text processing.
In-Chat Single Sign-On (SSO) for Seamless Connections
To simplify the setup of connections to various services during agent interactions, Copilot Studio introduces in-chat single sign-on (SSO), currently in preview. When a user requires access to additional services that necessitate credentials during an agent chat, the agent can automatically authenticate those services. Instead of navigating to a separate Connection Manager page, the agent prompts the user with an adaptive card for one-click approval, establishing the connection on the user's behalf and continuing to respond to the user's prompt seamlessly.
Multilingual Support in Generative Orchestration
Generative orchestration in Copilot Studio is now available in all supported languages beyond English (US), marking a significant step toward making advanced AI capabilities accessible globally. Users can build agents in their preferred language and leverage features like natural language reasoning, dynamic workflows, and data-aware actions. The orchestrator seamlessly continues conversations in the user's language during agent handoffs, eliminating the need for additional language configurations. This update, now in public preview, enables the creation of multilingual solutions without duplicating setup across connected agents.
Enhanced Analytics for Agent Performance
Copilot Studio introduces two new features to provide deeper insights into agent performance. For autonomous agents, knowledge source analysis is now generally available, allowing users to see how agents utilize their knowledge bases during each run. This metric helps assess relevance, adjust content, and improve performance over time. Additionally, makers can now view where user questions went unanswered, categorized into themes and conversation contexts. This feature, currently in preview, highlights patterns and clusters of topics where responses fell short, facilitating the identification and closure of content gaps to continuously refine agents.
Administrative Enhancements in Power Platform Admin Center
To support agent solutions at scale, new visibility and management tools have been introduced in the Power Platform admin center (PPAC). The agent inventory view provides a tenant-wide list of all agents built in Copilot Studio, displaying key details such as agent name, environment, owner, creation date, and status. This centralized view supports smoother lifecycle management and consistent agent experiences across teams. Additionally, the new agent usage analytics experience offers tenant-level data on agent usage, including trends, billing metrics, and a curated list of top agents. These features, available in the PPAC for tenant and environment admins in commercial regions, enable better tracking of usage and cost control practices at the organizational level.
These comprehensive updates in Microsoft Copilot Studio for June 2025 significantly enhance the development, management, and performance analysis of AI agents, empowering users to create more intelligent, responsive, and efficient solutions within the Microsoft 365 ecosystem.
Source: Microsoft What’s new in Copilot Studio: June 2025 | Microsoft Copilot Blog
