OKTO Solutions

On July 9, 2026, Microsoft and OpenAI announced that GPT-5.6 is now the default model for Microsoft 365 Copilot. That means the assistant built into Word, Excel, PowerPoint, Copilot Chat, and Copilot Cowork now runs on OpenAI’s latest AI generation, with no changes needed on your end.

For a small business in Trois-Rivieres, the Mauricie region, or anywhere else in Quebec that already uses Microsoft 365, this kind of news often slips by unnoticed. But it has a real impact on the quality of Copilot’s responses and the time your team saves each week, and it lands right in the middle of a tense standoff between Microsoft and OpenAI. Here’s what’s changing and what to watch.

Quick answer: As of July 9, 2026, GPT-5.6 is the recommended model for Microsoft 365 Copilot across Word, Excel, PowerPoint, Chat, and Cowork. Copilot can use it automatically when it fits the task, or you can select it yourself in the model picker. The expected result: better drafts, sharper analysis, and fewer back-and-forth prompts, with no new charges or installs.

1. What Was Announced on July 9, 2026

According to the official Microsoft 365 Copilot blog, the GPT-5.6 model family from OpenAI is now available in Copilot for Word, Excel, PowerPoint, Chat, and Cowork. Two ways to use it:

  • Automatically: Microsoft notes that Copilot can use GPT-5.6 when it’s the best fit for the task at hand.
  • Manually: where the model picker is available, you can select GPT-5.6 directly.

One key thing to keep in mind: Microsoft notes that availability may vary by region and tenant configuration. You may not see the option right away, since the rollout happens in waves. For a small business, this explains why a coworker might see the feature before you do. Having IT support means knowing exactly where your organization stands in the rollout.

2. What GPT-5.6 Actually Changes in Word, Excel, and PowerPoint

The headline improvement Microsoft points to is stronger reasoning on multi-step tasks. Here’s what that looks like in the apps your team uses every day:

  • Word: draft, edit, and rework documents with fewer prompt iterations. You ask, and Copilot delivers a draft that’s much closer to what you actually need.
  • Excel: push your analysis further while using tokens more efficiently, moving faster from raw data to real insights.
  • PowerPoint: turn starting ideas into polished, visual presentations with less manual formatting.

For a small business, this isn’t a gimmick. A quote built in Word, a sales dashboard in Excel, a client deck in PowerPoint, these are hours of work every month. If Copilot cuts down the number of tries it takes to get the right result, the time savings stack up fast. That said, it only works if your licenses, permissions, and data are properly set up, which is exactly what our IT management services cover.

GPT-5.6 artificial intelligence in Microsoft 365 Copilot

3. Sol, Terra, and Luna: Three Models for Three Needs

GPT-5.6 isn’t a single model, it’s a family of three: Sol, Terra, and Luna. Each targets a different use case, from the most powerful flagship down to high-volume workloads. The thinking behind this approach: use the right model for the right task, rather than running a heavy, expensive model just to rephrase an email.

The good news for you: Copilot handles that selection in the background. You don’t need to become an AI model expert to benefit. The system picks what fits, and you keep control when the picker is available. This reflects a broader trend in 2026 where providers are multiplying model variants and the real challenge is orchestrating them well.

4. The Microsoft-OpenAI Tension Behind the Scenes

This announcement comes with some context. A few days earlier, reports including Bloomberg’s indicated that Microsoft was gradually replacing some OpenAI tools with its own internal models, called MAI, to cut costs. Many saw this as a sign the two partners were growing apart.

By publicly naming GPT-5.6 as Copilot’s recommended model, OpenAI sends a clear message: the partnership is still on. But the nuance TechCrunch reported is worth noting. Microsoft continues developing its MAI models in parallel, and the phrase “recommended model” is intentionally vague about what that means long-term.

Why does this matter to you? Because a small business that builds its workflows around an AI tool needs to understand who provides what. If Microsoft pushes its own models more aggressively down the road, or starts mixing multiple providers inside Copilot, the assistant’s quality and behavior could shift. That’s not a reason to panic, but it is a reason not to go all-in without a backup plan.

Microsoft 365 workstation supervision for a small business in Quebec

5. What This Means for Your Small Business in Quebec

Here’s a practical way to approach this update without overthinking it:

  • Nothing to install: the change happens on Microsoft’s end. Your existing Copilot licenses get the upgrade as the rollout progresses.
  • Check availability: since the rollout varies by region and tenant, your organization may get access later than others.
  • Train your team: a better model only produces better results if your people know how to write good prompts. A short internal training session makes a real difference.
  • Lock down your data: before letting Copilot dig through your documents and emails, make sure permissions, file sharing, and governance are clean.
  • Keep an eye on how things develop: with the Microsoft-OpenAI relationship shifting, it’s smart to periodically revisit which AI tools you’re using and why.

That’s exactly the kind of ongoing oversight a local IT partner can handle for you, so you stay focused on your business rather than tracking every big tech update.

Frequently Asked Questions

Does Using GPT-5.6 in Copilot Cost More?

Microsoft has not announced any additional charges for using GPT-5.6 in Microsoft 365 Copilot. The model is built into existing Copilot apps. That said, Microsoft 365 and Copilot licensing prices can change over time, so always refer to Microsoft’s official pricing page for the most current rates.

Do I Need to Activate GPT-5.6 Myself?

Not necessarily. Copilot can use GPT-5.6 automatically when the task calls for it. Where the model picker is available, you can also choose it manually. Availability varies by region and your organization’s configuration.

Is Microsoft Dropping OpenAI for Its Own Models?

No, not in the near term. Microsoft is developing its own internal models (MAI) in parallel, but OpenAI’s GPT-5.6 has been the recommended Copilot model since July 9, 2026. The two companies remain partners, even as their relationship continues to evolve.

Get the Most Out of Copilot Without Wasting Your Time

GPT-5.6 coming to Microsoft 365 Copilot is good news for small businesses, as long as you have a properly configured environment and a team that knows how to use it. At OKTO Solutions, we help businesses in Trois-Rivieres, the Mauricie region, and across Quebec get the most out of Microsoft 365, securely. Check out our IT management services or contact our team to review your Copilot deployment.