And about Windows 12, expect it to be thoroughly infused with AI.
My reliable source, Microsoft guru Mary Jo Foley, indicates that Microsoft is preparing to launch a new SKU, Microsoft 365 E7. She recently explained that this launch “will be key to Microsoft’s plan to license ‘agentic’ workers like human employees.”
This news makes me anticipate a wave of job losses for white-collar professionals. My colleague Sharon Fisher pointed out that, until recently, companies often attributed job cuts to AI as a convenient justification for layoffs.
However, this narrative appears poised for a significant shift.
Microsoft’s upcoming AI initiative transcends mere expansion of its Copilot suite. It aims to fundamentally alter how businesses perceive AI. The corporation now encourages companies to ’employ’ its AI agents instead of simply utilizing them. This represents more than a marketing strategy; it signifies a profound shift in how Microsoft envisions enterprises incorporating AI into their daily functions.
These new independent AI agents are designed to assume specific responsibilities. Rather than requiring prompts, they operate continuously, managing sales figures, orchestrating workflows, and even overseeing IT infrastructure. Microsoft portrays them as “trusted team members” capable of executing routine knowledge-based tasks, all while adhering to user policies and corporate data access protocols.
Microsoft’s marketing materials already explicitly position Copilot Studio as an agent. On the dedicated Copilot Studio product page, it clearly states that “agents use AI to automate and execute business processes for a person, team, or organization.” Furthermore, Microsoft emphasizes that these agents “may take actions when asked, automate workflows, and replace repetitive tasks.”
Following years where Copilot primarily functioned as an enhanced autocomplete feature for Office 365, this strategic shift indicates Microsoft’s ambition to integrate AI as a core operational component within enterprises. This signifies an AI presence that is enduring, responsible, and, indeed, chargeable.
From Microsoft’s perspective, AI agents are the temporary workforce of the future.
A crucial yet understated business aspect is also at play. The concept of “hiring” an AI agent is not merely a figure of speech for Microsoft; it represents their established subscription model repackaged. Each agent would likely be licensed similarly to a human user, linked to a specific role and operational demand. This introduces another avenue for cloud service utilization, framed not as IT purchasing but as an expansion of the workforce.
This development aligns with a long-standing pattern I’ve documented: Microsoft’s move away from standalone Windows PCs and software towards cloud-centric subscription models for both. AI was always integral to this strategy; this marks the most recent stride in discontinuing the traditional PC paradigm that has been prevalent since the 1980s, when the IBM PC brought computing from data centers and enthusiasts into the corporate environment.
Microsoft is currently gauging enterprises’ willingness to integrate AI agents as full-fledged components of their operational processes. The company is wagering that the phrase “AI employee” will soon shed its futuristic connotation. (It’s worth noting that Microsoft is not alone in this endeavor; Salesforce, Google, and OpenAI are also quickly developing their own AI agent solutions.)
Naturally, “employing” an AI will not supplant human workers this year. The immediate objective is enhancement, not displacement – at least for the time being. However, next year could bring a very different scenario.
Furthermore, speculation surrounding Windows 12 is intense and widespread. What’s the scoop? Microsoft has clearly indicated that upcoming Windows iterations will heavily incorporate AI, Neural Processing Units (NPUs), and Copilot-like assistants. Reports and insights from partners suggest a modular CorePC architecture, where AI will be fundamental not just for optional functionalities, but also for central aspects like search, personalized recommendations, and overall system behavior.
Indeed, this implies that users who are still frustrated about purchasing new PCs for Windows 11 will face the same requirement for Windows 12. How thrilling! Factor in the soaring costs of RAM and expensive NPU chips, and you’re looking at a significant increase in both your hardware and software service expenditures.
However, in Microsoft’s envisioned future workplace, onboarding a new assistant may soon be obsolete. Instead, you could simply access Azure, select an agent from a roster, grant it data access, and instruct it to begin its tasks. Should this vision materialize, “employing” AI could become as commonplace as setting up a new laptop.
Should this potential future scenario fill you with apprehension, I offer a humble piece of advice. Forgive me if this sounds familiar. (Too late!) Now is the opportune moment to consider migrating to Linux on your current hardware, or even switching to Apple. Candidly, if your goal is to sidestep the perpetual software subscription trap and maintain autonomy over your digital experience, Windows may no longer be the optimal platform.