Embeds Copilot in Windows Kernel, Transforming OS

06 Jan 2026

Microsoft has integrated Copilot directly into the Windows kernel, starting on 2026-01-01, transitioning Windows into an AI-native platform. The new design, dubbed "Agentic OS," empowers the operating system to proactively manage tasks, going beyond mere command responses.

Kernel and Hardware Updates

This overhaul includes a rewritten kernel, leveraging Rust for memory safety, and a new NPU-aware scheduler. This design efficiently utilizes Neural Processing Units for operations like UI recognition and natural language processing (NLP), freeing CPUs and GPUs for other tasks. The update demands hardware with NPUs capable of 80–100 TOPS.

Security and Privacy Enhancements

The introduction of Agent Workspace and Agent Accounts keeps security in focus: agents operate in virtual sandboxes with low privileges. Microsoft's model allows logged and audited agent actions. A Model Context Protocol (MCP) enables seamless communication between system components and third-party applications, bridging user intent with specific system resources.

Market and Future Developments

As data processing increasingly occurs on-device, noting privacy concerns compels hardware manufacturers to adapt quickly. Microsoft is vying for AI-driven personal agents that might operate across multiple devices. Future projections suggest a personalized AI layer could redefine traditional OS boundaries.

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