M365 Roundup, November 2025: Ignite Puts AI Agents Under Management
TL;DR
- Microsoft Agent 365, announced at Ignite in November 2025, is a control plane to observe, manage, secure, and govern AI agents regardless of which platform built them.
- Security Copilot is being included for all Microsoft 365 E5 customers at no additional cost, rolling out from November 18, 2025.
- Baseline Security Mode in the Microsoft 365 admin center disables legacy settings and enables secure-by-default configurations with a few clicks, and it is generally available.
- Entra ID now supports synced passkeys from Apple, Google, and other credential providers in preview.
- Defender XDR is changing its default to ingest only high-severity Entra ID Protection alerts starting December 11, 2025, so expect alert volume to drop unless you change the setting.
November 2025 belonged to Ignite. Microsoft used the conference to answer the question every IT team has been asking about AI agents: who manages these things? The answer is Agent 365, alongside two more announcements with immediate budget impact, Security Copilot landing in E5 at no extra cost and a new Baseline Security Mode in the admin center. Around the conference, the regular monthly stream of Teams, Outlook, Entra, Intune, and Copilot changes kept flowing. Here is the full month, organized by what matters most.
The Ignite headliners
Agent 365: a control plane for AI agents
Agent 365 brings observability at every level of the AI stack. Whether you create agents with Microsoft tools, open-source frameworks, or third-party platforms, Agent 365 helps you observe, manage, secure, and govern them. For MSPs, this is the first real answer to agent sprawl before it becomes the next shadow IT.
More info: Microsoft Agent 365: The control plane for AI agents (opens in new tab)
Timing: preview, via the Frontier Program.
Security Copilot included in E5
Security Copilot will be included for all Microsoft 365 E5 customers in the upcoming months, bringing agentic AI into the daily security workflow at no additional cost. Rollout starts November 18, 2025 for existing Security Copilot customers with Microsoft 365 E5 and continues in the coming months for all E5 customers, with a 30-day advance notification before activation.
Baseline Security Mode in the Microsoft 365 admin center
Baseline Security Mode (BSM) is simple to use but offers advanced capabilities:
- Disable legacy settings and enable secure-by-default configurations
- Run simulations for complex settings to assess user and app impact
- Deploy protections "you have always wanted" with a few clicks
Full announcement: Ignite '25 Spotlight: Announcing Microsoft Baseline security mode (opens in new tab)
Timing: generally available.
Copilot Business: the new SMB license
Also announced in November: a new Copilot license for SMB (under 300 users) with the same Copilot capabilities at $21/user/month instead of $30, arriving December 1. Full breakdown: Microsoft 365 Copilot for Business, what you need to know
Identity and security updates
Synced passkeys arrive in Entra (preview)
Microsoft Entra now supports synced passkeys from Apple, Google, and other credential providers, offering easy registration and authentication while protecting against phishing. Full article: How to Enable Synced Passkeys (FIDO2) in Microsoft Entra ID (Preview) (opens in new tab)
Timing: currently in preview as of November 2025.
Soft deletion and restoration for cloud security groups
To help organizations recover from accidental or malicious deletions, Entra is introducing soft deletion for cloud security groups. Deleted groups can be restored within 30 days, preserving their settings, ownership, and membership, so access models do not have to be rebuilt from scratch. Timing: late February 2026, completing by early March 2026.
Defender XDR changes which identity alerts it ingests
To improve alert clarity and reduce fatigue, Defender XDR is adding configuration options for identity alerts coming from Entra ID Protection:
- Alert ingestion logic is now explicitly tied to Entra ID Protection risk levels
- Admins choose which alerts flow into Defender XDR: high risk only, high plus medium, or all detections
- Updated UI strings and visuals improve clarity
The important part: the default changes from ingesting all severities to ingesting only high-severity alerts. Expect a reduction in alert volume, and note that some alert types will stop arriving in Defender XDR unless you change the setting to High + Medium or All detections. Timing: public preview starting December 11, 2025.
Purview tightens the screws on Copilot data
Three Purview capabilities entered preview around Ignite:
- DLP for Copilot prompts: if a prompt includes confidential data such as credit card numbers or personal details, Purview DLP blocks Copilot and agents from responding, keeping sensitive information out of grounding in Microsoft 365 and web search
- Overshared link remediation in Data Security Posture Management (DSPM) for SharePoint lets admins identify and fix overshared links at scale
- AI Observability in DSPM provides visibility into all agents so security teams can manage risk proactively
Timing: preview.
Copilot keeps absorbing the workday
Custom AI summaries in Teams Meeting Recap
Copilot users can create tailored meeting notes using sample content, instructions, or prebuilt templates. Timing: mid-December 2025 through mid-January 2026.
Schedule meetings inside Copilot Chat
Users can find available times, book rooms, draft agendas, and send invites without leaving the chat. Timing: rolling out now, completing by late January 2026.
Copilot reschedules your flexible meetings automatically
Within the meeting event form, users can mark which events are flexible and set preferences for when rescheduled events should land. Copilot detects double-bookings and automatically moves flexible 1:1 meetings and personal events to a better time. Timing: mid-November 2025, completing by late December 2025 (previously late November).
Sora 2 video generation lands in Copilot
OpenAI's Sora 2 video generation model is coming to Microsoft 365 Copilot, letting licensed users in the Frontier Program create short AI-generated videos from natural language prompts in the Create experience. Timing: available now in preview (Frontier) for licensed users.
Channel agents orchestrate GitHub, Asana, and Jira via MCP
Teams Channel Agent can orchestrate tasks with select third-party Model Context Protocol (MCP) servers, including GitHub, Asana, and Atlassian (Jira), reasoning transparently through tasks and gathering information across tools. Timing: mid-November 2025 through mid-December 2025.
Agent Mode spreads across the Office apps
Agent Mode in Excel now lets users choose between Anthropic and OpenAI reasoning models. Agent Mode in Word is generally available, and Agent Mode in PowerPoint is available via the Frontier program. New Word, Excel, and PowerPoint Agents create documents, spreadsheets, and presentations from Copilot chat, also via Frontier. Timing: preview (Frontier program); GA for Agents in Excel.
Voice comes to Copilot on desktop and web
Following voice in the Copilot mobile app earlier in November, Microsoft expanded voice to the Microsoft 365 Copilot app on desktop and web and to the Microsoft 365 apps, starting with Outlook, Word, and PowerPoint. A new opt-in wake word, "Hey Copilot," starts a voice chat hands-free on Windows devices. Full announcement: Voice turns Microsoft 365 Copilot into your thought partner (opens in new tab) Timing: generally available.
More Copilot Chat value without a license
Copilot Chat will provide more value in Outlook, Word, Excel, and PowerPoint for users without a Microsoft 365 Copilot license. Timing: in preview by March 2026.
Edge for Business gets Copilot Mode
Edge for Business will support summarization and contextual grounding with Microsoft 365 Copilot Chat: ask Copilot about multiple open tabs, Microsoft 365 documents (Word, Excel, PowerPoint), and YouTube videos from the Edge side pane. Agent Mode makes the browser capable of taking multistep actions on the user's behalf on IT-approved websites. Timing: preview.
Teams and Outlook changes to brief your clients on
Tenant-owned domain impersonation protection in Teams chat
If your organization allows external domains to contact users in Teams, Teams will now identify when an external user is impersonating a domain owned by your tenant during initial contact. On detection, the user sees a high-risk alert telling them to check for a suspicious name or email and proceed with caution. Before this rollout, Teams scanned only for brand impersonation; after it, Teams checks for both brand and tenant-owned domain impersonation. Timing: early December 2025, completing mid-December 2025.
Prevent screen capture in meetings (Teams Premium)
When enabled by the meeting organizer, this feature blocks screenshots and recordings using native device tools and most third-party apps on supported platforms, protecting sensitive meeting content. Timing: early November 2025 (previously mid-October), completing late November 2025.
Simplified external collaboration controls in the Teams admin center
A new external collaboration (EC) admin experience introduces three modes:
- Open (Mode 1): chats, calls, and meetings with all external domains and Teams personal accounts via federation or external access; Teams and channels collaboration with Microsoft and non-Microsoft partners using B2B collaboration and B2B direct connect
- Controlled (Mode 2): aligns with current defaults for enterprise and EDU tenants; chats, calls, and meetings with all external domains via federation or external access, but collaboration in shared channels is blocked
- Custom: full manual control over each org-wide external collaboration setting across chats, calls, meetings, Teams, and channels (including shared channels); changes apply only to global org-wide policies and settings, not custom policies
Timing: late January 2026, completing early February 2026.
Flexible meeting layout with a resizable divider
A new layout option gives users control over how shared content and participant videos share the screen, with a resizable divider between them. Timing: early February 2026, completing late March 2026.
Private organizer and presenter chat in structured events
A separate chat lets organizers and presenters in structured meetings, webinars, and town halls communicate privately before, during, and after the event without involving attendees. Timing: mid-February 2026, completing late February 2026.
Interpreter and multilingual meetings get smarter
These enhancements require a Microsoft 365 Copilot license:
- Automatic spoken language detection across Interpreter, live captions, and transcription, no manual setup
- A "Preparing" status indicator showing when the Interpreter is initializing
- Simplified settings with clear explanations for each option
Timing: mid-December 2025, completing late December 2025.
Outlook: native scheduling polls and workspace booking
Two scheduling improvements in new Outlook:
- Native polls in the calendar compose form help users propose multiple time slots and gather attendee preferences, especially useful with external participants or people with tight availability. Timing: late October 2025 through early December 2025.
- Book a workspace from the location field when creating a calendar event. Timing: early December 2025.
A modern Access Request and Access Denied page
Microsoft 365 is rolling out a visual refresh of the Access Request and Access Denied experience, redesigned to help users quickly request access to documents, SharePoint sites, or Teams meeting recordings. Timing: early January 2026, completing early February 2026.
Intune and Windows: agents, recovery, and contractor BYOD
Security Copilot agents come to Intune
Three new agents arrive with Security Copilot: the Change Review Agent, the Policy Configuration Agent, and the Device Offboarding Agent. Full announcement: What's new in Microsoft Intune at Ignite (opens in new tab)
Admin Tasks: one queue for what matters
A centralized view for high-priority items so admins can act quickly, covering critical approvals like elevation requests, multi-admin approvals, and security tasks. Same announcement link as above. Timing: first quarter of calendar year 2026.
Windows resiliency: quick machine recovery and point-in-time restore
Two new recovery capabilities:
- Quick machine recovery automatically detects, diagnoses, and remediates boot-critical issues from WinRE, restoring productivity without hands-on intervention
- Point-in-time restore rolls a device back to a previous state within minutes
Full announcements: Scalable Windows Resiliency with new recovery tools (opens in new tab) and Windows Autopatch: elevate your update experience for modern work (opens in new tab)
Timing: preview.
Edge for Business extends MAM to contractor-managed devices
Admins can already support BYOD on Edge for Business using Intune Mobile Application Management (MAM). Starting with a preview in January 2026, those MAM protections extend to devices managed by other organizations: admins set up a MAM profile on the externally managed device, creating a controlled browser environment in Edge for Business. A cost-effective answer for contractor access. Announcement: Scalable Windows Resiliency with new recovery tools (opens in new tab)
Frequently asked questions
Do E5 customers have to pay for Security Copilot now?
No. Security Copilot will be included for all Microsoft 365 E5 customers in the months following Ignite, starting November 18, 2025 for existing Security Copilot customers with E5. Customers receive a 30-day notification before activation.
Will the Defender XDR alert change reduce what you see?
Likely yes. The default moves from ingesting Entra ID Protection alerts of all severities to high severity only, starting with public preview on December 11, 2025. You can change the setting back to High + Medium or All detections to match your needs.
What does Purview DLP for Copilot prompts actually block?
If a prompt includes confidential data such as credit card numbers or personal details, Purview DLP for Copilot, now in preview, blocks Copilot and agents from responding, so the sensitive information is not used for grounding in Microsoft 365 or through web search.
Microsoft changed the defaults again. Did your tenants notice?
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Written by
Nick Ross
CEO · Microsoft MVP · Founder, T-Minus 365
Nick is not just a CEO, he's a respected thought leader and influencer in the MSP space. Tens of thousands of MSPs learn through his YouTube channel, T-Minus365. Nick has been honored as a three-time Microsoft MVP for his educational content; his expertise and influence are the backbone of our mission, ensuring that you are in the best hands when it comes to security.
Nick joined Pax8 in 2017, where he would ultimately oversee product management for PSA and Microsoft integrations. Following his tenure at Pax8, Nick has continued to demonstrate his leadership prowess as an executive at various MSPs, culminating in his most recent role at Sourcepass.
Nick holds a Bachelor's Degree in Business Management from Florida State University, as well as a Minor Degree in Entrepreneurship. In his free time, Nick is an avid hiker, reader, and fitness-junkie.
