Microsoft 2026: What Your Business Needs to Know About the New AI-Powered Microsoft 365

Microsoft is entering 2026 with one of the most significant evolutions of Microsoft 365 to date. Artificial intelligence is no longer an optional enhancement, for better or for worse - it is becoming the core engine behind productivity, collaboration, and security across the entire platform.

With the quick expansion of Microsoft Copilot and deeper AI integration across every application, organisations should prepare for a more automated and security-focused digital workplace.

What’s Changing in Microsoft 365 by 2026

We had a look at Microsoft’s roadmap for 2026, and there are some exciting changes coming to four major areas of Microsoft that will impact organisations of all sizes.

AI Becomes the Foundation of Microsoft 365

Artificial intelligence is being embedded across the entire Microsoft 365 suite, fundamentally changing how people work. Everyday tools are becoming smarter and more proactive.

Outlook will offer automated email summarisation, intelligent scheduling, and advanced message triage. Microsoft Teams will provide real-time transcription and translation, along with AI-driven meeting insights that capture action points and decisions automatically. In Excel, predictive analytics and anomaly detection will help users uncover trends and risks without complex formulas, while Word will support AI-assisted writing and formatting.

SharePoint and OneDrive are also evolving, with intelligent search and automated content classification making it easier than ever to find and manage information.

Of course, at the centre of all this is Microsoft Copilot. Designed to streamline workflows and reduce manual effort, Copilot can dramatically improve productivity and decision-making…  but only when implemented with the right security controls and user training in place.

AI-Enhanced Security and Compliance

As AI becomes more deeply embedded in Microsoft 365, security is evolving alongside it. Microsoft is strengthening protections across key platforms including Microsoft Defender, Intune, Entra ID, and Compliance Manager.

AI now plays a central role in activities such as:

• detecting threats
• identifying risky behaviour
• protecting sensitive data
• and automating incident response.

As such, security systems are becoming smarter and faster, capable of responding to threats before they cause damage.

Good things always have a caveat, though, as this increased intelligence also brings greater complexity. Without an expert, organisations may struggle to configure, monitor, and maintain these capabilities and may lose out on their advantages.

Microsoft 365 Pricing Changes in July 2026

Microsoft has confirmed global pricing adjustments for commercial Microsoft 365 plans starting in July 2026. These changes reflect the growing value and cost of AI-powered features across the platform.

For many organisations, this will make licensing decisions more critical than ever. Businesses that don’t regularly review their Microsoft 365 licences risk paying for features they don’t use - or missing out on AI capabilities that could deliver real value.

Careful licensing optimisation will be essential to control costs while still benefiting from Microsoft’s latest innovations.

Key End-of-Support Deadlines in 2026

Everything comes to an end… eventually. Several widely used Microsoft products will reach end of support in 2026, including Office 2021, Windows 11 24H2, Windows 11 SE, and Windows Server 2012 / 2012 R2 (ESU Year 3).

The emphasis in this modern digital world is always on security, and running unsupported software significantly increases security risks. It can also create compatibility issues with newer Microsoft services, making upgrades quite necessary.

What Your Business Should Do Now

Preparing for Microsoft’s 2026 changes requires a proactive approach, so organisations should start reviewing their Microsoft 365 licensing and AI-enabled plans. It’s essential everything is updated so that out-of-support issues are avoided in a timely manner.

Equally important is training staff to use AI-powered tools effectively and implementing strong data governance policies to ensure information remains secure and compliant.

For many internal IT teams, managing all of this alongside day-to-day operations can be overwhelming… which is why partnering with an experienced managed service provider, such as Dolphin IT Solutions, is often the smartest move.

Final Thoughts: The Future Is AI-Driven — Are You Ready?

Microsoft’s 2026 roadmap marks a major shift toward intelligent and automated digital workplaces. Organisations that prepare now will be best positioned to gain a competitive advantage and make the most of Microsoft’s AI-powered future.

Ready to modernise your Microsoft environment? Contact us - let’s build your AI-powered future together.