Microsoft has rolled out new artificial intelligence (AI) features across its Microsoft 365 suite, introducing Agent Mode in Office apps and a new Office Agent in Copilot chat.
The updates, the company said, mark a step toward “agentic productivity,” enabling more interactive collaboration between users and AI.
With Agent Mode, now available in Excel and Word, users can create spreadsheets and documents directly within the apps by starting with a prompt and refining results through iterative guidance. Support for PowerPoint will be added soon.
In Excel, Agent Mode is designed to simplify advanced data modeling for non-expert users. Microsoft explained that the feature can generate outputs, check results, correct errors, and repeat tasks until results are verified effectively acting like a virtual Excel specialist while keeping users in control.
The company said this will help democratise access to professional-grade Excel functions, making financial analysis, loan calculators, and personal budgeting tools easier to build.
In Word, Agent Mode turns writing into a conversational process. Users can prompt Copilot with simple instructions;such as summarising customer feedback or updating a project report and refine drafts through back-and-forth interaction. Microsoft said this approach enables faster iteration, improved clarity, and polished documents aligned with Word’s native formatting.
Alongside Agent Mode, the new Office Agent in Copilot chat lets users generate PowerPoint presentations and Word documents from a single prompt. Microsoft said the feature addresses one of the biggest limitations of earlier AI tools: producing well-structured, professional slides. Excel support will be added in the coming months.
According to the company, the new features are aimed at making Office tools more intuitive and accessible, while helping users complete multi-step tasks more efficiently.
