What and Why:
Microsoft is expanding Microsoft 365 Copilot Notebooks to support TXT (.txt) and RTF (.rtf) files as reference sources. This update enables users to bring a broader range of text-based content—such as transcripts, meeting exports, developer notes, and AI-generated outputs—into a single AI-powered workspace. By grounding Copilot in more contextual information, this enhancement strengthens productivity and enables more comprehensive insights, summaries, and content generation.
Rollout Schedule:
- General Availability (Worldwide): Rollout begins early July 2026 and is expected to complete by mid-July 2026.
Impact on Your Organization:
Who is affected: Users with access to Microsoft 365 Copilot Notebooks
Platforms/Services:
-
Microsoft 365 Copilot
-
Copilot Notebooks
What will happen:
- Users can upload and use TXT (.txt) and RTF (.rtf) files as notebook references.
- Copilot can analyze and use content from these files alongside other supported formats.
- The feature will be available by default once rolled out.
- Existing Microsoft 365 security, compliance, and data governance policies continue to apply.
- No changes to existing workflows—this is an additive enhancement.
Action Required/Recommendations:
No action is required.
Recommended actions:
- Inform users about support for TXT and RTF files in Copilot Notebooks.
- Update internal training or adoption materials to reflect expanded file support.
- Review internal governance policies if needed to ensure appropriate use of text-based content in AI workflows.
Compliance considerations:
| Consideration |
Explanation |
| Does the change provide end users any new way of interacting with generative AI? |
Users can now include TXT and RTF files as reference sources in Copilot Notebooks, enabling Copilot to analyze and generate responses based on additional unstructured text inputs. |
| Does the change alter how existing customer data is processed, stored, or accessed? |
Content from TXT and RTF files added to notebooks will be processed and accessed by Copilot alongside existing reference files to generate insights and responses. |
| Does the change introduce or significantly modify AI/ML or agent capabilities that interact with customer data? |
Copilot’s AI capabilities are extended to interpret and reason over TXT and RTF file content within notebooks, expanding the range of data sources used for AI-driven outputs. |