Microsoft has introduced a technical update for its Copilot AI agents, focusing on enterprise knowledge management. Without upgrading the underlying large language models, the company achieved a 400% increase in response speed and a 30% reduction in token consumption.

The new solution utilizes the Work IQ knowledge compilation engine integrated with SharePoint. It automatically converts fragmented organizational data from emails, meeting records, and technical documents into structured knowledge bases for more efficient retrieval by AI agents.

The technology supports various enterprise tasks, including cross-document Q&A, meeting summary generation, project status tracking, and drafting communications based on internal materials. It is designed to handle scattered data across Teams channels and Microsoft 365 groups.

The feature is currently available to Frontier Preview tenants. Access is limited to users on a pay-per-use billing model, with management controls provided through the Microsoft 365 admin center. Future plans include integration with Copilot Studio and automated maintenance for knowledge bases.