The British Chamber of Commerce found that 54% of UK SMBs are now actively using AI, up by 19% since 2025. This means that chances are, someone in your business is using some AI tool such as Copilot or Claude. Microsoft also announced that 30 million Copilot seats have been sold now, showing it is a widely adopted product.

In October 2026, Microsoft announced a big overhaul to Copilot. In this blog, we look at what has changed and what you need to do about it as a small business.

What is new in the Copilot update?

The Copilot app now has three separate capabilities: Home, Code and Autopilot.

Home – Home is the new starting page in the Microsoft Copilot app. This is where you will find chat and Cowork. For any quick questions or work you want to hand over to your Copilot Cowork agent, this is the place you will want to be. Your Microsoft apps such as Word, PowerPoint and Excel are all built in so you can edit documents in one place.

Code – Code allows you to describe a simple app or dashboard in simple language and have Copilot build it for you. This runs in a protected environment called a sandbox and no developer or knowledge is needed.

Autopilot – Autopilot allows you to give it a name, role and goal and it will work in the background to complete the given task. This means you can have regular tasks completed whilst you aren’t at your desk.

Should Businesses Rush to Use the New Microsoft Copilot?

Businesses don’t need to rush to use the new Microsoft Copilot. For most users, it will not be available yet due to it currently being on the Microsoft early access programme, called Frontier. For small businesses, however, it is definitely worth knowing about and considering how Copilot could possibly assist you with day to day tasks.

How to Prepare Your Business for the New Microsoft Copilot

Before adopting Copilot, there are a few areas which need careful consideration. These are the following: Control, Costs and Data

Control – As Copilot Autopilot is designed to act on its own, you need to set clear limits on what its able to see and do. Ensure that your Microsoft 365 permissions are set up correctly and that everything you want it to see is visible but more importantly, anything you want it to not see is hidden.

Cost – Microsoft Copilot is staying on a foxed licence per user and billed either monthly or annually. The more advanced agent features such as Cowork, Code and Autopilot all run on usage based billing instead. You must understand that the bill will move depending on how much you use the tools and what for.

Data – Microsoft Copilot works from the data your information has. A strong folder structure and the correct access controls really does make the answers better and outputs stronger.

How Three Cherries can help

Three Cherries have been providing IT support since 1999. This means that we have seen plenty of systems and understand what it takes to get them all in order. If you would like a hand checking your Microsoft 365 setup, get in touch with the team at Three Cherries. We are happy to take a look and give you an honest view, free of charge.

Frequently Asked Questions (FAQs)

Below are some commonly asked questions we receive regarding Copilot and the new, updated version of Copilot.

What is the new Microsoft Copilot?

The new Microsoft Copilot is a redesigned version of the Copilot app which is now split into three parts: Home, Code and Autopilot. Home is where chat and delegated tasks are kept, Code builds your simple apps and dashboards and Autopilot is your background assistant.

Is the new Copilot available to all businesses?

Not fully yet. Only companies enrolled in the Frontier early access programme have access currently. Microsoft said that Code will reach certain licence types later in 2026.

How much does Copilot cost?

Copilot in Chat, Word, Excel, PowerPoint, Outlook and Teams are covered by a fixed per user licence. The newer features such as Cowork, Code and Autopilot all use the newer usage based billing model. This means the cost will fluctuate based on how much it is used.

Is it safe to let Copilot Cowork agents work on its own?

If the boundaries and permissions are set up correctly, yes. For a small business, it would be worth having someone look over the permissions before you go ahead and start using agents. The team at Three Cherries are able to do this for you.

Should my business start using AI now?

There is no rush for your business to start using Ai. Although it can be a brilliant tool, it doesn’t come without any potential issues. We recommend getting in touch with someone who has knowledge and experience with AI tools, such as Three Cherries, and begin slowly.