GPT-5.6 becomes the default model in Microsoft 365 Copilot

On July 9, 2026, Microsoft and OpenAI announced that the new GPT-5.6 model is becoming the default model in Microsoft 365 Copilot. In other words, the assistant built into Word, Excel, PowerPoint, Copilot Chat and Copilot Cowork now runs on OpenAI’s latest generation of AI, with nothing for you to change in your applications.

For an SMB in Trois-Rivières, in the Mauricie or anywhere else in Quebec that already uses Microsoft 365, this kind of news usually slips by unnoticed. Yet it has a real effect on the quality of Copilot’s answers and on the time your team saves every week, and it lands right in the middle of a tug of war between Microsoft and OpenAI. Here is what changes and what you should keep an eye on.

1. What was announced on July 9, 2026

According to the official Microsoft 365 Copilot blog, OpenAI’s GPT-5.6 family of models is available in Copilot for Word, Excel, PowerPoint, Chat and Cowork. There are two ways to benefit from it:

• Automatically: Microsoft says Copilot can use GPT-5.6 whenever that model is the best fit for the task you asked for.
• Manually: wherever the model selector is offered, you can choose GPT-5.6 yourself.

One important detail to keep in mind: Microsoft notes that availability can vary by region and by tenant configuration. You will not necessarily see the option on day one, and the rollout happens in waves. For an SMB, that is the kind of detail that explains why a colleague gets a new feature before you do. Working with an IT partner helps you know where your organization stands in the rollout.

2. What GPT-5.6 actually changes in Word, Excel and PowerPoint

The main improvement Microsoft points to is better reasoning on multi-step tasks. In practice, here is what that looks like in the applications your team opens every day:

• Word: writing, correcting and reworking a document with fewer rounds of instructions. You ask, and Copilot hands back a draft that is closer to the final result.
• Excel: pushing the analysis further while using tokens more efficiently, so you get from raw data to useful findings faster.
• PowerPoint: turning rough ideas into cleaner, more visual presentations, with less manual formatting.

For an SMB, this is not a gimmick. A quote built in Word, a sales dashboard in Excel or a client deck in PowerPoint each represent hours of work every month. If Copilot cuts down the number of attempts needed to land on the right result, the time saved adds up quickly. Your licences, your permissions and your data still have to be set up properly, and that is exactly what our managed IT services cover.

3. Sol, Terra and Luna: three models for three needs

GPT-5.6 is not a single model but a family of three: Sol, Terra and Luna. Each one targets a different use, from the most powerful flagship model down to high-volume needs. The thinking behind it is simple: use the right model for the right task, instead of running a heavy, expensive model just to reword an email.

The good news for you is that Copilot handles that selection in the background. You do not have to become an expert in AI models to benefit from it. The system picks what fits, and you keep the wheel wherever the selector is available. This lines up with a broader trend in 2026: providers keep adding model variants, and the real challenge becomes orchestrating them well.

4. The Microsoft and OpenAI tension in the background

This announcement arrives in a particular context. A few days earlier, reports including one from Bloomberg said Microsoft was gradually replacing some OpenAI tools with its own in-house models, called MAI, to bring its costs down. Many read that as a sign the two partners were cooling off.

By publicly naming GPT-5.6 the preferred model for Copilot, OpenAI is sending a clear message: the partnership still holds. But the nuance reported by TechCrunch deserves a mention. Microsoft keeps developing its MAI models in parallel, and the phrase preferred model stays deliberately loose about what it commits to over the long run.

Why does this concern you? Because an SMB that builds its processes around an AI tool has every reason to understand who supplies what. If Microsoft leans harder on its own models tomorrow, or has several providers coexist inside Copilot, the quality and the behaviour of the assistant can shift. That is no reason to panic, but it is a reason not to put all your eggs in one basket without a plan B.

5. What this means for your SMB in Quebec

In concrete terms, here is how to approach the change without giving yourself a headache:

• You have nothing to install: the change happens on Microsoft’s side. Your existing Copilot licences benefit as the rollout reaches you.
• Check the availability: since the rollout varies by region and by tenant, your organization may get the option later than others.
• Train your teams: a better model only gives better results if your people know how to phrase their requests. A short internal training session changes everything.
• Put guardrails on your data: before letting Copilot loose on your documents and emails, make sure permissions, file sharing and governance are clean.
• Keep an eye on how this evolves: with the Microsoft and OpenAI relationship shifting, it is wise to review periodically which AI tools you use and why.

That is exactly the kind of follow-up a local IT partner can take off your hands, so you stay focused on your business instead of on the tech giants’ latest updates.

Frequently asked questions

Does GPT-5.6 in Copilot cost more?

Microsoft has not announced any new fee tied to using GPT-5.6 in Microsoft 365 Copilot. The model is built into the existing Copilot applications. Microsoft 365 and Copilot licence pricing can still change over time: for current pricing, always check Microsoft’s official price list.

Do I have to turn GPT-5.6 on myself?

Not necessarily. Copilot can use GPT-5.6 automatically when the task calls for it. Wherever the model selector is offered, you can also choose it manually. Availability depends on your region and on how your organization is configured.

Is Microsoft dropping OpenAI for its own models?

No, not in the short term. Microsoft is developing its own in-house models (MAI) in parallel, but OpenAI’s GPT-5.6 has been presented as the preferred model for Copilot since July 9, 2026. The two companies remain partners, even if their relationship is evolving.

Get the most out of Copilot without losing your time

GPT-5.6 landing in Microsoft 365 Copilot is good news for SMBs, provided your environment is properly configured and your teams know how to use it. At OKTO Solutions, we help businesses in Trois-Rivières, the Mauricie and across Quebec get the most out of Microsoft 365, safely. Take a look at our managed IT services or contact our team to review where your Copilot rollout stands.