What is Copilot Smart Mode?

Copilot Modes July 2025

It snuck in quietly, like all meaningful innovations do. I didn’t see a press release, or announcement – and just saw it “pop” up for me today with one small pop-up. Just one single word, Smart. And yet, beneath the understated label lies perhaps the most pivotal shift in the way generative AI models like Copilot and ChatGPT work since manual “model selectors” first became a thing.

This is, yes, you’ve guessed it GPT5!


Smarter Than Smart – the quiet revolution of reasoning

Copilot (i’m talking the consumer version currently at copilot.microsoft.com) or via the Windows, IOS and Android app, currently has three modes of chat which you choose based on the discussion with Copilot you want to have. This is similar to how ChatGPT works also today.

  • Quick Response [for every day conversations]
  • Think Deeper [for more complex topics]
  • Deep Research [Detailed reports with references]

That is changing – Microsoft Copilot’s new ‘Smart’ mode doesn’t ask you to choose a conversation type anymore. Instead it now adapts for you – automatically and intuitively.

This means, that depending on your query, for example whether you’re scoping customer insights, untangling a tricky dependency in a network diagram, or storytelling your way through a general chat, summarisation of marketing ideas, ‘Smart’ mode calibrates itself to the conversation and task at hand.

In short – in this mode, Copilot will now decide what model it thinks it needs to help you. Copilot has auto reasoning — true adaptive, context-aware reasoning based on the ask.


What Makes This Mode Smart?

‘Smart’ mode is likely powered by OpenAI’s upcoming GPT-5, a model anticipated to merge the OpenAI o-series and GPT-series models into one unified framework.

What we’re seeing as these models evolve is:

  • An intuitive reasoning engine, not just predictive text- task “and” context aware
  • Self-calibrating depth, reducing cognitive load by using the right tool for the right job
  • Model abstraction, freeing users from having to pick the right tool for the job themselves

Microsoft hasn’t just added another dial. It’s looking to hide the dial entirely — and taught the model how to turn it for you (however as it’s in preview you do need to turn the auto mode on – for now at least).


Copilot’s Human Centric UX

As you can see above, instead of users needing to flip between “Think Deeper,” “Quick Response,” and “Deep Research,” (or not evening understanding what these mean and therefore ignoring it), Copilot’s Smart mode does what most tools never do: it assumes responsibility. That’s more than a UX shift — it’s a culture shift. This means no longer asking (non technical) users to understand what the different models the model hierarchy or decoding acronyms like o4-mini. Instead Copilot is getting cognitive delegation.

This means we will be able to “trust”Copilot to know when to dig deeper and when to skim the surface.


Examples: Tech Architects, Storytellers, and Strategists

The table below gives some examples of where Copilot Smart mode can make a big different in use:

RoleBefore Smart ModeWith Smart Mode
Solution ArchitectManually toggling depth based on task complexityInstant adjustment to scope and context
Content Creator/MarketingSelecting modes based on tone and detail requiredNatural flow from quip to deep dive
EnginnerTesting prompts for clarity vs depthGetting both — with nuance — the first time

This isn’t just about being faster. It’s about being right-sized. Strategically aligned, creatively agile, and cognitively respectful.


What about control and “mode anxiety”?

We’ve all wrestled with prompt engineering, hoping we’re not asking too little or too much. Smart mode is Copilot whispering, “I’ve got you.” That’s a leap from assistant to partner — the kind we’ve spent decades trying to design into our workflows, team cultures, and tech stacks.

Copilot Smart Mode Preview?

This is in preview clearly – or was it rolled out silently. Anyway, if you have it, give it a try (I have it on desktop and web plus mobile). Let me know your thoughts.

It will be interesting to see if eventually the modes disappear and we just have an “auto” mode.

Palo Alto to buy CyberArk for $25B: Reinforcing the AI-Era of Identity Security

Palo Alto Networks has agreed to acquire Israeli identity-security specialist CyberArk for $25B which marks the largest acquisition yet by Palo Alto with this deal taking their total acquisition spree to $33 billion since 2018.

Why are Palo Alto buying CyberArk?

With hackers increasingly weaponising AI and machine identities, rapid detection and shutting down privileged-access breaches has never been more mission-critical.

CyberArk, which has more than 10,000 customers globally, features advanced PIM (privileged access management) which locks down which users and service accounts can access sensitive data and systems. Integrating CyberArk lets Palo Alto pitch an end-to-end portfolio that secures human users, system accounts and and AI “agents” users.

Identity and security are converging  highlighting the need for a true Identity Security platform said Palo Alto said in their press release. They they aim to deliver Identity Security for agentic AI to secure the new wave of autonomous AI agents by providing foundational controls for this emerging class of privileged identities. They say this will provide their customers with the optimal combination of best of breed technology and integrated platforms to deliver near real-time security outcomes.

Security vendors betting big on AI Defence

Just last year (in 2024) Palo Alto acquired IBM’s QRadar SaaS assets and IP for $1.1B and then spent  $700 million on startup Protect AI, beefing up their AI-centric threat-hunting tools.

It’s not just Palo either. Google have acquired  Wiz for $32 billion, and last year Cisco closed its $28B Splunk deal in 2024, underscoring that cybersecurity scale and AI readiness are critical to growth, protection for their customers and necessary to defend against the AI powered bad actors!

Identity security is at its inflection point. Every identity—human or machine—requires the right privilege controls. The rise of AI only magnifies this need.

Reflection

This is another huge acquisition in the security space showing how the industry giants continue to get bigger and bolder with eye watering acquisitions. This is the AI Security race.

It will be interesting to see what other acquisitions are in the cards this year from the other security giants.

I wouldn’t be suprised if we see more acquisitions from Cisco, Forinet, Juniper (HPE) and Microsoft in this space.

Copilot Memory is Rolling Out

What Is Copilot Memory?

Copilot Memory is a new capability within Microsoft 365 Copilot (similar to what ChatGPT has) that allows Copilot to remember key facts about your preferences, working style, ongoing projects, and other things you want it to know about you. This enables it (think PA) to be able to tailor its responses over time. You can add and change this as needed so it evolves with you, reducing repetitive prompts, adapting to your style and speeding up your daily tasks.

Key Capabilities

  • Persistent Facts
    Copilot picks up on explicit instructions like “Remember I prefer bullet points in my writing” or “Always use a formal tone in emails” and retains these details across sessions.
  • Custom Instructions
    Beyond passive memory, you can proactively shape Copilot’s baseline behavior. Ask for brevity, wit, or a specific document style, and Copilot applies those instructions automatically in Word, Excel, Outlook, and other 365 apps.
  • Contextual Recall
    Copilot integrates with Microsoft Graph and ContextIQ to ground conversations in your files, meetings, and chats, ensuring its outputs align with your latest work context.

How It Works

  1. Explicit Memory Prompts
    Copilot only stores information when you ask it to. This prevents unwarranted data collection and keeps your AI focused on what matters to you.
  2. Memory Updated Signal
    Whenever it logs a new fact, you’ll see a subtle “Memory updated” badge—confirmation that Copilot has learned something new about your preferences.
  3. Privacy Controls
    You can control its memory: You can view, edit, or delete entries in Copilot’s Settings pane and if you need to can wipe it’s memory and start fresh by simply toggle the Memory function off entirely.
  4. Admin and Compliance Oversight
    Organisations can disable Memory for specific users or tenant-wide, and all memory actions flow into Purview eDiscovery for audit and compliance purposes.

Timeline & Availability

Rollout date: July 2025 (staged)


Why Copilot Memory Matters

  • Efficiency Gains
    This is really about efficiency and personalisation since you will no longer need to keep telling Copilot your preferred tone or formatting preferences. This speeds up document creation, email drafting, and data analysis.
  • Deep Personalisation
    By remembering your recurring topics—Project Alpha, Python for data science, or icon-size images—Copilot provides responses that are more tailored to each user, not generic AI outputs.
  • Enhanced Adoption
    For organisations, personalised AI interactions drive higher engagement and adoption of Copilot across teams, leading to greater ROI on AI investments.
  • Trust & Transparency
    Visible memory updates and clear controls build user confidence in the AI, ensuring you always know what Copilot retains and why.

Enabling Copilot Memory

Memory is an option feature and can be enabled, modified and disabled as needed. To enable it, follow the instructions below.

  1. Open Microsoft 365 Copilot and head to Settings › Account › Privacy.
  2. Under Personalisation & memory, toggle Memory on or off.
  3. Tell Copilot what to remember: “Remember I prefer bulleted lists,” or “Keep my summaries under 100 words.”
  4. View, edit, or delete memories any time from the same settings pane.

Recap in Teams gets “eyes” to capture screen sharing content

Coming soon, Copilot in Teams will improve on its intelligent meeting recap feature by incorporating content shared on screen into the AI-generated summary. This will ensure that slides, dashboards, and other visuals shown by participants become part of the post-meeting recap, capturing unspoken insights and making your summaries more comprehensive.

Visual Insight for Deeper Recaps

Meeting transcripts are great for meetings but currently miss the context conveyed by visuals in screen sharing. With this update, Copilot and Recap in Teams will:

  • Analyse on-screen content during live screen sharing.
  • Extract key data points, figures, and text from slides or shared apps.
  • Seamlessly integrate those visual details into the AI-powered meeting summary.

By bridging voice and visuals, teams gains a unified recap that reflects both spoken dialogue and pivotal on-screen information, reducing the risk of overlooked action items.

How Intelligent Capture Works

For Copilot to reference shared screen content accurately, the following conditions apply:

  • The shared content must remain on screen for at least 10 seconds to allow Teams OCR time to process it.
  • Content needs to be clear and legible; overly crowded or small text may not be captured.
  • At launch, PowerPoint Live and Whiteboard screen shares aren’t supported for visual extraction.

These requirements help ensure Copilot’s OCR and contextual understanding produce reliable, actionable summaries.

Licensing and Platform Support

This feature requires a Microsoft 365 Copilot license and will roll out to:

  • Teams for Windows desktop
  • Teams for Mac desktop
  • Teams on the web
  • Teams on iOS and Android

Prereqs for Intelligent Recap

To unlock the full benefits of intelligent recap, admins need to configure:

  • Recording policies that allow meetings to be recorded and stored in the cloud.
  • Transcription settings to capture spoken content as text.
  • Copilot or Teams Premium licenses assigned to meeting organizers and participants.

Other Related Innovations

Microsoft continues to expand Copilot and adjacent AI features in Teams. Recent roadmap highlights include:

  • Interactive agents in meetings and 1:1 calls (Roadmap ID 490564), bringing custom and built-in Copilot agents directly into your Teams sessions for on-the-fly assistance.
  • Meeting protection via Prevent Screen Capture (ID 490561), which blocks unauthorised screenshots by blacking out the meeting window on desktop and mobile.
  • Enhanced audio summaries for calls, enabling Copilot to generate concise overviews even without full transcription.

Best Practices for use

  • Encourage meaningful screen shares: Use high-contrast slides and clear visuals to boost AI accuracy.
  • Maintain recording consistency: Standardize meeting settings to always enable recording and transcription.
  • Train your team on how to query Copilot post-meeting—e.g., asking for “action items from the product roadmap slides.”
  • Review AI-generated tasks promptly to assign ownership and follow through on deliverables.

Conclusion

Incorporating visuals into AI-powered recaps marks a significant leap forward for Copilot in Teams. Capturing both spoken and on-screen content ensures no detail goes unnoticed.

With the upcoming rollout of this feature under Roadmap ID 490052, Copilot will help teams stay aligned, save time on note-taking, and drive better outcomes from every meeting.

For more details on enabling intelligent recap in your org, visit Microsoft Learn article on intelligent recap prerequisites and policies.

Why Microsoft Is Phasing Out Passwords for good.

TL;DR

Microsoft is removing password support from its Authenticator app this summer. As of June, you haven’t been able to add new passwords; in July autofill stops working; and by August all saved passwords will be deleted. The replacement?

FIDO-based passkeys that are stored encrypted on your device and use biometrics / PIN for phishing-proof sign-ins.

The Password Problem

Passwords have been the backbone of online security for decades and the way we into most our work and online services like shopping sites, email, Snapchat etc.. You name it.

But.. They are a huge weak link and the primary way people and companies get hacked and online identities stolen!

  • Microsoft report they see password account attacks in the realm of  7,000 attempts per second against Microsoft consumer accounts alone.
  • People reuse weak or memorable passwords across dozens of sites because they are hard to remember
  • Password managers whilst helpful, provide a single attack space for hackers.
  • Phishing, brute-force and database leaks make passwords a persistent liability and AI in increasing the number of attacks.

Microsoft’s stats show password success rates (getting a log in correct with your password) of 32%, compared with 98% for passkeys—proof that passwords aren’t just less secure, they’re also more error-prone and easier to use once set up.

What Are Passkeys?

Passkeys are an evolution of authentication built on FIDO (Fast Identity Online) standards. Here’s what makes them different:

  • Stored only on your device protected by your Pin and Biometrics and never on a central server. 
  • Rely on biometrics (Face ID, fingerprint) or a local PIN. 
  • Immune to phishing and replay attacks because there’s no password to steal. 
  • Seamless: once set up, you tap or scan to log in anywhere passkeys are supported.
  • Easier to use since you don’t have to remember complex passwords.

Microsoft Authenticator Timeline

To ease the transition away from storing passwords and moving to passkeys, Microsoft has shared the process which started last month.

  • June 2025: Microsoft disabled ability to add new passwords to Authenticator.      
  • July 2025: Password autofill in Authenticator is disabled.            
  • August 2025: All passwords saved in Authenticator are permanently deleted (export before then).

Keeping/Exporting  your passwords.

If you want to export your passwords stored in Authenticator you can. These can then be imported into other password managers. To do this:

  • Open Authenticator
  • Goto Passwords, then Export.
  • Save the CSV file securely or import it into another password manager.
  • If you still rely on passwords, migrate them to Microsoft Edge’s built-in vault or a third-party manager like 1Password.

Start creating Passkeys.

  • Still in the Authenticator app or via your Microsoft account’s security settings, select Passkeys > Add new passkey.  
  • Follow the prompts to register with Face ID, fingerprint or PIN.

Update your accounts to use Passkeys

  • This is unfortunately a bit laborious, since you will need to visit each website or service that offers passkey login and link your new passkey.

Why go Passwordless.

There’s a heap of reasons once you’ve got past the process of creating Passkeys.

  • Stronger Security: No password to steal means it’s virtually impossible to phish or brute-force your credentials. 
  • Better Usability: Unlock with a quick biometric scan or PIN—no more juggling complex passwords. 
  • Future-Proof: Passkeys and the move to passwordless is backed by all major identity provider platforms (Microsoft, Cisco, Apple, Google, Amazon) and over 15 billion accounts already support them.
  • The industry is moving to passwordless: all the tech giants are moving this was to finally try to rid the world of passwords. Apple, Google and Amazon have also committed to a passwordless future. Whether it’s signing into an app, online banking or shopping, passkeys are becoming the universal standard.

Today, the use of passkeys is growing but with the tech giants behind the Phasing out of passwords they will soon be the way we sign into all. Out online services.