Microsoft is expanding its AI-driven productivity tools with the launch of Agent Mode in Excel and Word, as well as a new Office Agent in Copilot chat. These features, powered by OpenAI’s GPT-5 and Anthropic’s models, aim to simplify complex tasks by transforming them into interactive, agent-driven processes. The updates reflect Microsoft’s strategy to integrate reasoning-based AI into Office, making professional-grade documents and spreadsheets accessible with just a prompt.
Agent Mode in Excel and Word
Agent Mode builds on Microsoft’s existing Copilot features but introduces greater autonomy and transparency. In Excel, Agent Mode breaks down tasks into verifiable, step-by-step processes, allowing users to follow how data is analyzed and structured. Microsoft reports a 57.2% accuracy rate on SpreadsheetBench, placing it above competitors like Shortcut.ai and Claude Files Opus 4.1, though still below human performance at 71.3%.
In Word, Agent Mode enhances document creation with a conversational workflow described as “vibe writing.” Users can generate drafts, refine content, and integrate summaries from previous reports, with Copilot offering clarifications and suggestions in real time. The goal is to make writing more dynamic, interactive, and collaborative.
Office Agent in Copilot Chat
Beyond individual applications, Microsoft is introducing Office Agent within Copilot chat. Using Anthropic’s models, the tool can create complete PowerPoint presentations and Word documents directly from conversational prompts. Unlike earlier AI slide tools, Office Agent delivers structured decks with research-backed content and live slide previews. This capability is intended to help Microsoft maintain a competitive edge in an increasingly crowded field of AI productivity tools.
AI Model Integration
While OpenAI models remain central to Microsoft’s Office suite, the company is testing Anthropic’s models to diversify capabilities across its services. Office Agent’s reliance on Anthropic’s API, hosted on Amazon Web Services, explains why these models are initially available only in Copilot chat and not fully embedded in desktop Office apps. Microsoft says this hybrid approach allows it to leverage strengths across different AI systems for optimal user experience.
Availability
Agent Mode in Excel and Word is launching first in web versions for Microsoft 365 Copilot customers and Microsoft 365 Personal and Family subscribers through the Frontier program, with desktop availability coming soon. Office Agent in Copilot chat is also available immediately in the U.S. under the same program, offering early adopters a chance to explore the next phase of AI-enhanced productivity.
Microsoft’s new Agent Mode and Office Agent represent a significant step in evolving productivity software from assistive tools to autonomous collaborators. By blending reasoning-driven AI with Office’s familiar environment, the company is positioning Excel, Word, and PowerPoint as not just work tools, but intelligent partners in creating complex documents, spreadsheets, and presentations.
