What’s New in the Hybrid Data Center & Microsoft | June 2025

• Cost Management Enhancements
  Azure Cost Analysis now features AI-powered recommendations to identify unused resources and right-size workloads improving overall cloud efficiency and spend control.
• Automated Policy Remediation
  Azure Policy now supports automatic remediation for more built-in policies, reducing manual intervention while enforcing compliance across environments.
• AVD Screen Capture Protection
  A new preview feature in Azure Virtual Desktop enables screen capture protection, improving data security for sensitive or regulated remote sessions.
• No-Code Alerts in Azure Monitor
  Azure Monitor now allows admins to build complex alert conditions without writing KQL, making monitoring more accessible and intuitive.
• Compute Gallery Improvements
  Updates to Azure Compute Gallery improve VM image versioning and replication across regions, streamlining multi-region deployments and disaster recovery planning.
• Microsoft Build 2025 Announcements
  • Coding Agent: Automates code reviews, writing, and bug fixes.
  • Digital Twin Builder: Expanded features and CosmosDB integration for modeling real-world systems.
  • “Chat with your data:” A new Power BI feature enabling natural language conversations across semantic models, apps, and agents.
• Azure AI Foundry Updates
  • Azure AI Agent Service is now generally available, allowing enterprises to automate processes and dynamically select the best OpenAI model for each prompt or workflow.

New Features for Users:

• Researcher and Analyst Agents
  Now generally available and ready to install for enterprise users.
• SharePoint/OneDrive File Prompts
  By early July, users can select SharePoint and OneDrive folders directly via the “Attach cloud files” icon in prompts.
• Excel-Driven PowerPoint Creation
  By the end of the month, users can search for Excel files and use them to generate presentations. If needed, they can paste a direct URL to the file in OneDrive or SharePoint.
• Excel UI Enhancements
  The Copilot icon and right-click context menu now follow your cell activity, letting you launch summaries and formula suggestions directly from the worksheet.
• Copilot in Forms
  Forms can now reference existing files from Word, Excel, and PowerPoint to dynamically populate forms with context-aware content.
• Mobile App Copilot Features
  In Office mobile apps (Teams, Outlook, Word), users can now generate visuals using natural language, helping bring ideas to life on the go.
• Third-Party Data in Copilot Studio
  Admins can connect data sources like Zendesk using Copilot connectors, allowing users to pull live data into conversations (e.g., “Show my open Zendesk tickets.”).
• Audio Summaries & Document Rewrites
  Teams meeting transcriptions, Word docs, and PDFs can now be converted into audio summaries, available in either summary or podcast format.
  Word also gains:
  • One-click grammar/spelling fixes.
  • The ability to rewrite, shorten, or expand sections while keeping the rest of the file private.
  • Quantitative insights via the new Understanding tab (totals, dates, percentages).
• Visual Input and Accessibility
  Drag-and-drop a chart or visual into Copilot chat to extract text, generate alt text, or get a plain-language description—ideal for accessibility checks or summarizing data quickly.

Admin Features:

• Agent Ownership Management
  Starting June 30, admins can use PowerShell to reassign ownership of Copilot agents if the original creator leaves the organization or changes roles.
• Budget and Usage Control
  Admins can now:
  • Allocate Copilot budgets by department.
  • Set usage caps.
  • Manage file uploads (DOCX, PPTX, PDF) and apply sensitivity labels for security and compliance.

Key Updates:

• SIEM Agent Deprecation:
  Microsoft Defender for Cloud Apps will deprecate SIEM agents starting November 2025. Organizations must migrate to supported alternatives:
  • Microsoft Defender XDR Streaming API
  • Microsoft Graph Security Alerts API
• Cloud App Catalog Redesign:
  The Cloud App Catalog UI has been revamped for improved navigation, usability, and security compliance visibility.
• Firewall Configuration Update:
  Customers must update firewall rules to maintain service continuity. Two options are available:
  • Allow specific source IP address rangesUse the AzureFrontDoor service tag (MicrosoftSecurity)

⚠ This requirement is repeated to ensure no disruption to Defender service access.

Key Updates:

• Safe Links Expansion:
  Microsoft is expanding Safe Links capabilities in Defender for Office 365 to provide stronger protection through:
  • Zero-hour Auto Purge (ZAP)
  • Quarantine improvements
  • Enhanced end-user reporting of malicious messages
• Deployment & SecOps Guides:
  New deployment and SecOps configuration guides are now available to help organizations set up and fine-tune Teams protection under Microsoft Defender for Office 365 Plan 2 (MDO Plan 2).

Key Updates:

• Sentinel SIEM Integration:
  Microsoft is merging Sentinel’s SIEM capabilities into Defender XDR, creating a more streamlined and cohesive security operations experience.
• Advanced Hunting Enhancements:
  New telemetry and analytics capabilities include:
  • Microsoft Teams-specific tables, such as MessageEvents and MessagePostDeliveryEvents.
  • An expanded IdentityInfo table to improve user-based threat detection.
• AI-Powered Phishing Triage Agent:
  A new Security Copilot Phishing Triage Agent is in development to:
  • Autonomously process phishing submissions
  • Eliminate false positives
  • Reduce manual workload for SOC analysts

Key Updates:

• External Identity Provider Support:
  SAML and WS-Fed Identity Provider (IdP) support is now generally available, allowing users from partner organizations to authenticate using their own credentials—no need to provision or manage separate Entra IDs.
• Custom Extensions for Attribute Collection:
  Organizations can now enable custom pre- and post-sign-up logic, including:
  • Validation of user data
  • Modification of attributes during registration flows
• Application-Based Authentication (OAuth 2.0):
  Now in public preview, this feature allows more secure synchronization between Entra and on-premises directories using app identities and OAuth 2.0, replacing older credential-based sync methods.
• Conditional Access Policy Impact Analysis:
  Admins can now evaluate Conditional Access changes against recent login attempts to:
  • Predict real-world outcomes
  • Reduce misconfigurations
  • Ensure smoother policy rollout and enforcement

Key Updates:

• Safe Attachments Policy Change:
  Between July and August 2025, the default “Monitor” action will be changed to “Block” in Exchange Online Protection. Remaining options: Off, Block, Dynamic Delivery.
• SMTP AUTH Enforcement:
  Expect tighter enforcement of SMTP AUTH to reduce spam and unauthorized email relay. Legacy configurations should be reviewed and updated.
• Out of Office Sync Improvements:
  Out of Office status will sync more reliably across desktop and mobile Outlook clients.
• Simplified DKIM/DMARC Setup:
  The Exchange Admin Center now offers a streamlined setup experience for DKIM and DMARC, helping improve email deliverability and authentication.

Key Updates:

• Android BYOD Management Is Changing:
  Microsoft is preparing to shift Intune’s BYOD Android device management to the Android Management API (AM API).
• What to Do Now:
  Organizations should begin to:
  • Revise enrollment policies
  • Update internal documentation
  • Train helpdesk teams for the new experience
• What’s Coming:
  In the second half of 2025, IT teams can opt into web-based enrollments for personally-owned Android work profile devices. Previously enrolled devices will need to migrate to the new model for continued support.

Key Update:

• SharePoint Storage Tab Coming Soon:
  A new Storage tab will be added to the Microsoft 365 admin center’s usage reports, providing:
  • Quota consumption overviews
  • Actionable storage management recommendations to help admins optimize capacity and prevent overages

Key Updates:

• Unlicensed Account Enforcement Timeline:
  • June 24, 2025: Admins can view detailed reasons for unlicensed status.
  • July 28, 2025: Accounts unlicensed by this date will be flagged.
  • September 26, 2025: Affected accounts become read-only.
  • October 29, 2025: Read-only accounts will be archived.
• Personal Account Sign-In Prompt:
  OneDrive will prompt users to sign in with their personal Microsoft account if already signed in on the device.
  • This does not sync personal and work files, but may confuse users.
  • Admins can disable this behavior via policy for a cleaner experience.

Key Updates:

• Improved Window Behavior:
  Since mid-May 2025, when users switch from the new Outlook to Classic Outlook, the new Outlook remains minimized instead of closing completely.
• Parallel Access Update (June 2025):
  Beginning in early June, users will be able to open Classic Outlook without closing or leaving the new Outlook, enabling easier side-by-side use during transition or testing phases.

Key Updates:

• Offline Mode in Public Preview:
  • Users can now access recent emails, calendar items, and contacts even when offline—ideal for travel or connectivity disruptions.
• Delegation Enhancements:
  • Features like shared mailboxes and calendar access are now approaching full parity with Classic Outlook, making the new version more viable for enterprise workflows.
• Third-Party Add-In Compatibility:
  • Microsoft is gradually expanding support for third-party add-ins. Organizations should verify compatibility with line-of-business tools before fully transitioning.
• Streamlined Copilot Features:
  • Users can now pin important emails, schedule send times, and use Copilot directly within the interface for quick summaries and drafting, boosting everyday productivity.

Key Update:

• Project for the Web Retirement:
  Starting August 2025, Microsoft will retire Project for the Web. All users will be automatically redirected to the new Planner. No manual migration or license changes are required.
• What’s New in Planner:
  The enhanced Planner experience now includes:
  • Goals and Sprints for Agile Project Management.
  • Task history and advanced dependencies.
  • AI-powered tools like Copilot and the Project Manager agent for intelligent planning and execution.

Key Updates:

• Scalable Security Management:
  Admins can now manage security across environments more efficiently with new governance capabilities.
• Copilot Agent Governance (Starting June 16):
  New controls allow admins to:
  • Limit agent sharing
  • Disable anonymous access
  • Enforce authentication provider policies
    These updates enhance security for organizations using Microsoft Copilot Studio to build and deploy agents.

Key Updates:

• AI Usage Visibility by Department:
  A new graph in Data Security Posture Management for AI shows which departments are using AI apps, using profile data from Entra ID.
• Data Security Investigations (DSI):
  A newly released AI-powered tool for identifying incident-related data, performing content analysis, and mitigating risk in a unified dashboard.
• Attachment Previews in Compliance Center:
  Starting June 2025, admins can preview email attachments directly in Content Explorer.
• Granular Retention Policies:
  Admins can now separate Teams chats and Copilot interactions into different retention policies using PowerShell.
• Inline AI App Protection in Edge for Business:
  New inline data loss protection (DLP) controls for AI apps like ChatGPT, Gemini, and DeepSeek, enabling sensitive data prompt blocking.
• Enterprise AI App DLP Category:
  New DLP collection policy category for Enterprise AI apps (requires Azure + E5 licensing). Organizations must update policies to continue collecting data from apps like ChatGPT Enterprise.

Key Updates:

• External Sharing Reset Required (Effective July 1):
  After integrating with Microsoft Entra B2B, previously shared links will no longer work.
  • Users must re-invite external collaborators.
  • MFA setup and user communication recommended.
• Site Creation Improvements:
  • New experience includes granular permissions and live template previews.
• AI Enhancements in SharePoint Premium:
  • Expanded features for auto-tagging, content classification, and Copilot-powered summaries.
• Stronger Default Security for New Sites:
  • Tighter external sharing policies, especially in Microsoft 365 E5 environments.
• Dynamic FAQ Web Part Coming Soon:
  • Powered by Microsoft 365 Copilot.
  • Auto-curates FAQ content for licensed users.

Classic Teams retires, multi-window support arrives

• Classic Teams will be unavailable after July 1, 2025.
• The new Teams Reader role in the admin center provides read-only settings access.
• Users can open Chat and Teams in separate windows for productivity, rolling out July to August 2025.
• The Copilot panel in chats and channels is becoming more context-aware.

Retention policies and UI changes coming

• Admins can set separate retention policies for Copilot interactions and Teams chats.
  (GA rollout begins early June 2025)
• The “Files” tab in Teams channels will be renamed “Shared” tab.
  (Rollout: early July to mid-August 2025)

Accessibility, roles, and new messaging features:

• New policy: TownhallEventAccessType allows admins control access. (Everyone vs Organization + Guests)
• Meeting invites will differentiate between Attendee, Presenter, and Co-organizer.
• Sign Language Mode adds inclusive experiences.
• Temporary display name edits during meetings are coming soon.
• Lobby chat enables one-way messages to waiting attendees.

Location privacy, ringtones, and call notifications:

• Location sharing has been updated for emergency calls. Users must opt in (June rollout).
• Users can now customize ringtones by call type (e.g., forwarded, delegated). Find these settings under Teams Settings > Calling > Choose a ringtone.
• Call Waiting Beep is now available (enabled via settings on desktop; default on mobile).

Shared line control and simplified device management:

• Admins can now remotely manage contacts for common area phones.
• Devices allow users to:
  • Assign shared lines to line keys.
  • View boss/delegate presence.
  • Add/edit external contacts directly on-device.
• Line key enhancements support:
  • Shared line, delegation, call queues, transfers.
  • Efficient multi-call handling with fewer menus.
• Authentication updates for Android Teams Devices:
  • Must update app versions by December 31, 2025.
  • Key migration dates: July 31 and September 30, 2025.

New client health insights:

• A new TAC page lets admins monitor:
  • Teams desktop client health
  • Version adoption rates

Sensitive content alerts and queue coaching tools:

• Teams will proactively alert meeting organizers if sensitive info is shared onscreen.
  • Alerts cover: bank information, credit card numbers, etc.
• Teams Queues app now includes:
  • Monitor, Whisper, Barge, and Takeover features for private coaching.

• Full Access for Copilot Users: Viva Insights is now fully available to Microsoft 365 Copilot subscribers.
• Natural Language Reporting: Leaders with licenses can prompt Copilot to explore team skills data.
• Dynamic Visual Reports: Copilot generates interactive insights to support workforce planning and performance tracking.

• Secure Time Seeding Warning: Microsoft urges disabling STS on Windows Server 2016–2025 due to time drift issues.
• Copilot Upgrades: Now dockable and integrated with system controls like dark mode and Bluetooth.
• Start Menu Ads Testing: Preview builds include “recommendations” disabled via Group Policy or Intune.
• Improved Windows Backup: More system settings are now saved to the cloud for faster PC setup and recovery.