--- title: Microsoft AI Update July 2026 | daily.dev description: A monthly roundup of Microsoft AI updates for July 2026 covering new model availability, platform features, and tooling. GPT-5.6 (Sol, Terra, Luna tiers) is... canonical: https://daily.dev/posts/microsoft-ai-update-july-2026-jhyoicidb twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: Microsoft AI Update July 2026 | daily.dev og:description: A monthly roundup of Microsoft AI updates for July 2026 covering new model availability, platform features, and tooling. GPT-5.6 (Sol, Terra, Luna tiers) is... og:url: https://daily.dev/posts/microsoft-ai-update-july-2026-jhyoicidb og:image: https://api.daily.dev/og/posts/jhYoICIdB.png og:image:alt: Microsoft AI Update July 2026 og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # Microsoft AI Update July 2026 **[John Savill's Technical Training](https://daily.dev/sources/john-savill)** · 15 min read · 0 upvotes · 0 comments ## Summary A monthly roundup of Microsoft AI updates for July 2026 covering new model availability, platform features, and tooling. GPT-5.6 (Sol, Terra, Luna tiers) is now available across M365 Copilot, GitHub Copilot, and Azure Foundry. New Microsoft AI models include MAI Image 2.5 Pro and MAI Voice 2 Flash. Claude Opus 5 and Kimi K3 (2.8T parameters, 1M token context) are available in Foundry. Grok 4.5 and Gemini 3.6 Flash are added to GitHub Copilot. Foundry gains an ROI-for-agents feature in private preview, an APAC data zone in GA, a new project-based portal in GA, and sensitive trace content handling. Copilot Studio adds Foundry IQ support and GitHub Copilot harness integration. M365 Copilot gets @mention for Office agents, track changes in Word, brand kits in Excel/PowerPoint, and meeting recaps in Teams. GitHub Copilot introduces a skills recorder tool and Copilot Vision goes GA. Azure API Management adds an AI gateway tier supporting MCP servers. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Questions this post answers ### What are the three tiers of OpenAI's GPT-5.6 available on Microsoft platforms and what is each for? GPT-5.6 ships in three tiers: Sol for advanced reasoning and complex problem-solving, Terra balancing intelligence, speed and cost, and Luna for real-time interactions and high-scale experiences. All three are available in M365 Copilot chat, Word, Excel, PowerPoint, Copilot Studio, and GitHub Copilot, with Sol requiring Copilot Pro Plus or above while Terra and Luna are available on Pro and above. _Teams weighing which GPT-5.6 tier fits their workflow can track rollout details like these on daily.dev._ ### How does Claude Opus 5 compare to Fable 5 in Microsoft Foundry? Opus 5 is now the second-tier Anthropic model behind Fable 5, which became the new top-tier model. Opus 5 offers a step-level capability increase over Opus 4.8 and costs about half of Fable 5, making it well suited for deep reasoning and long-horizon tasks. It's available in Foundry, M365 Copilot apps, Copilot Studio, GitHub Copilot, and Azure Databricks. _Anyone choosing between Anthropic model tiers for cost versus capability can follow updates like this on daily.dev._ ### What is the Kimi K3 open-weight model and how is it deployed on Azure? Kimi K3 is Moonshot's latest open-weight model, featuring 2.8 trillion parameters and a 1 million token context window. It runs in Microsoft Foundry through the Fireworks AI inference engine, which executes open-source models within Azure, and it supports data zone deployment for regional residency requirements. _Developers evaluating large open-weight models for Azure deployments can keep tabs on releases like this via daily.dev._ ## Similar posts on daily.dev - [What's new in Azure AI Foundry](https://daily.dev/posts/what-s-new-in-azure-ai-foundry-hx3r96xoo) · DevBlogs · 4 upvotes · 0 comments - [October 2025: AI updates from the past month](https://daily.dev/posts/october-2025-ai-updates-from-the-past-month-rfegckz61) · SD Times · 1 upvotes · 0 comments --- Tags: [#llm](https://daily.dev/tags/llm), [#github](https://daily.dev/tags/github), [#ai-agents](https://daily.dev/tags/ai-agents), [#azure](https://daily.dev/tags/azure), [#microsoft-copilot](https://daily.dev/tags/microsoft-copilot) [View this post on daily.dev](https://daily.dev/posts/microsoft-ai-update-july-2026-jhyoicidb) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"Microsoft AI Update July 2026","url":"https://daily.dev/posts/microsoft-ai-update-july-2026-jhyoicidb","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/microsoft-ai-update-july-2026-jhyoicidb"},"datePublished":"2026-08-04T14:48:37.801Z","dateModified":"2026-09-14T07:05:33.202Z","description":"A monthly roundup of Microsoft AI updates for July 2026 covering new model availability, platform features, and tooling. 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