Microsoft is testing a new “Smart mode” for its Copilot AI assistant, indicating preparations for OpenAI’s anticipated GPT-5 launch, according to a report by Tom Warren.
Sources familiar with Microsoft’s AI initiatives reveal that the company is internally evaluating the new “smart mode” across both consumer and Microsoft 365 versions of Copilot. The consumer-facing Copilot’s “smart mode” is described as providing AI that “thinks deeply or quickly based on the task,” aiming to eliminate the need for users to manually select different models. The internal Microsoft 365 Copilot version features a “smart mode” designed to “use the most relevant model for your request to give you better results.”
Although internal Copilot versions currently do not mention GPT-5 and appear to still be operating on GPT-4, the new UI strongly suggests an eventual GPT-5 integration. OpenAI CEO Sam Altman stated in February that the company is focused on improving ChatGPT’s model selection process, expressing a desire to return to “magic unified intelligence.” Altman also revealed that GPT-5 will incorporate its o3 model.
Microsoft has also used the term “magic mode” internally within some sections of Microsoft 365 Copilot, with the functionality mirroring that of the “smart mode.” OpenAI is expected to launch GPT-5 in early August, as part of an effort to simplify and combine its large language models.
