# Microsoft Merges Copilot Apps, Adopts OpenAI GPT-5.6

**Published:** 2026-08-26T07:50:20.323Z  
**Topic:** Microsoft  
**Sentiment:** neutral  
**Publisher:** TrendWatcher — https://www.trendwatcher.in/article/fefa8cab-42ce-4d4d-8469-152be4431d22

Microsoft is merging its consumer and business Copilot apps by August 2026, dropping features, and integrating OpenAI's GPT-5.6 model to enhance enterprise AI

Microsoft is consolidating its consumer and business Copilot applications, with the company set to merge the functionalities of its standalone Copilot app and Microsoft 365 Copilot by August 18, 2026, a move that coincides with the integration of OpenAI's GPT-5.6 model into Microsoft 365 Copilot to enhance enterprise productivity tools [1, 3]. This shift acknowledges the overlap between personal and professional AI use and aims to simplify Copilot's offering amidst intense competition in the enterprise AI market [1, 3].

| At a glance | |
|---|---|
| Company | Microsoft |
| Product | Copilot |
| Key Action | Merging consumer and business apps; integrating GPT-5.6 |
| Timeline | By August 18, 2026 |

## Copilot Consolidation and Feature Changes

The merger of Microsoft's Copilot apps will result in the discontinuation of several consumer-facing AI features, including Group Chats, AI-generated podcasts, Copilot Labs experimental features, and Deep Research [1]. For professional users, Researcher will replace Deep Research [1]. The company will also remove the animated Copilot character, Mico, and migrate files generated by the standalone Copilot app to OneDrive [1]. Microsoft states the goal is to create a "simpler, more cohesive experience," following an internal memo from Microsoft EVP Jacob Andreou that emphasized the app's need to "earn the right to exist" by shedding underperforming features [1]. This consolidation mirrors broader trends in the AI app space, with competitors like Claude and OpenAI also merging features into their core offerings [1].

## Enhanced Enterprise AI with GPT-5.6

Alongside the app merger, Microsoft 365 Copilot will adopt OpenAI's GPT-5.6 as its default AI model, deepening the partnership between the two companies [3]. This integration brings GPT-5.6 to Microsoft 365 applications such as Word, Excel, PowerPoint, Copilot Chat, and Cowork, aiming to improve reasoning, coding, content creation, and workflow automation for enterprise users [3]. Microsoft claims the model will deliver higher-quality outputs and use computational resources more efficiently, enabling complex tasks with fewer prompts [3].

GPT-5.6 is available in three variants: Sol for advanced reasoning and coding, Terra for balanced performance and cost, and Luna for high-volume, lower-cost workloads [3]. OpenAI has also introduced configurable reasoning modes, including Ultra, which uses multiple AI agents for complex tasks, and new API capabilities for programmatic tool calling [3].

## Differentiating Microsoft's AI Tools

Microsoft offers several AI tools for business and enterprise users, each with distinct functionalities [2]:
*   **Microsoft Scout:** An "Autopilot" agent that runs autonomously in the background on Windows 11 and macOS, integrating with Microsoft 365 apps to gather information, schedule meetings, and prepare materials [2]. It learns user work patterns through Work IQ [2].
*   **Microsoft 365 Copilot:** An advanced version of Microsoft Copilot that accesses both internet content and a user's work data (emails, chats, documents) to provide personalized answers and assist with tasks in Word, Excel, PowerPoint, Outlook, and Teams [2]. Unlike Scout, it activates on query [2].
*   **Copilot Cowork:** Designed for action, Cowork enables Copilot to execute tasks and workflows across Microsoft 365 based on user intent [2]. It can reschedule meetings, prepare documents, and compile company data, powered by Work IQ to learn user personality [2].

These tools are available to Business and Enterprise users through subscriptions, Copilot Credits, and usage-based billing [2].

## What to watch

*   **August 18, 2026:** Monitor the specific features that are officially discontinued for consumers and professionals as the Copilot apps merge [1].
*   **Enterprise Adoption:** Observe how the integration of GPT-5.6 impacts the efficiency and adoption rates of Microsoft 365 Copilot among enterprise users [3].
*   **Competitive Responses:** Watch for further moves from competitors like Google, Anthropic, and Amazon as they continue to embed AI into their own workplace productivity tools [3].

The consolidation of Microsoft's Copilot offerings and the deeper integration of OpenAI's advanced models signal a strategic pivot towards a more unified and powerful enterprise AI platform, aiming to establish a stronger competitive position in the evolving AI market.

## Sources
1. TechCrunch — [Microsoft kills off unsuccessful AI features while merging its separate Copilot apps](https://techcrunch.com/2026/08/13/microsoft-kills-off-unsuccessful-ai-features-while-merging-its-separate-copilot-apps/)
2. The Windows Club — [Microsoft Scout vs Copilot vs Cowork: Which AI Tool Do You Need?](https://www.thewindowsclub.com/microsoft-scout-vs-copilot-vs-cowork-which-ai-tool-do-you-need)
3. CIOL — [OpenAI Brings GPT-5.6 to Microsoft 365 Copilot, Launches ChatGPT Work](https://www.ciol.com/generative-ai/openai-brings-gpt-56-to-microsoft-365-copilot-launches-chatgpt-work-12152515)

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Cite as: TrendWatcher, "Microsoft Merges Copilot Apps, Adopts OpenAI GPT-5.6", https://www.trendwatcher.in/article/fefa8cab-42ce-4d4d-8469-152be4431d22