Microsoft’s Jacob Andreou on AI’s product gap

Good morning, AI enthusiasts. AI is built into almost every app we open, but that doesn’t automatically make it useful.

Microsoft’s answer is to bring it all into one place with Copilot. Built around three new capabilities — Home, Code, and Autopilot — it’s being pitched as an “OS for work” where you can chat, build apps, and work alongside agents.

In partnership with Microsoft, we sat down with Jacob Andreou, the company’s EVP of Copilot, for an exclusive Q&A on what the new Copilot is trying to fix, where agents still need a human in the loop, and the lessons that changed how he thinks about AI products.

• What Microsoft had to relearn with Copilot

• How much freedom should an agent have?

• Smarter models aren’t enough

• Does the model still matter?

• What AI-native work looks like

The Rundown: Microsoft removed Copilot from several Windows apps after finding they brought traffic but little value. Andreou says he hit the same wall as a user of the company’s…