Microsoft plans aggressive maneuvers to gain an edge in fight for AI agent market share
Microsoft’s FY26 plan includes aggressive new tactics for gaining ground in the battle for AI agent enterprise accounts as they face stiff competition from Palantir, Google, OpenAI, and others.
Agents remain a relatively tiny line item in Microsoft’s performance. One company representative at the Biz Apps Partner Executive Summit 2025 event last week stated that their SaaS agent framework, Copilot Studio, delivered 2025 Q4 revenue of $18 million. To grow that number in FY26 company representatives at the event discussed their plans to build a library of pre-built agents to offer organizations and to roll out a corps of Forward Deployed Engineers, or FDEs.
Offering free FDE resources has rapidly become a staple AI sales tactic in the enterprise, both for large AI vendors and startups. Microsoft will join the trend with an offer to bring FDEs into a customer environment for a fixed time period, between four weeks and ninety days, to complete up to five agents that are agreed on with the customer.
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