Microsoft AI Updates: July 23, 2026

1. Microsoft Adds Mistral Models Across Foundry, Copilot Studio, And Azure

Microsoft. Microsoft announced an expanded strategic partnership with Mistral on July 21 to give enterprises and regulated industries more control over frontier AI deployments. Mistral Medium 3.5 and OCR 4 are now available in the Microsoft Foundry model catalog, with Medium 3.5 also reaching Copilot Studio, and Azure lets organizations run the models across cloud, cloud-connected, and fully disconnected environments. The deal broadens model choice on Microsoft’s platform for data-sensitive workloads that need to keep control over data and operations. Source