👋Farewell: App Skills in Excel (December 2025)

How's it going Reader,

"Starting in December 2025, I'll be getting a better way to work with Copilot in Excel - Agent Mode works right on my spreadsheet instead of in a separate chat pane, making everything faster and more intuitive. I'm excited because my workflow will actually improve. Currently, I use App Skills through the Copilot chat pane for things like data analysis and formulas, but having to switch between the chat and my spreadsheet slows me down."

What's Changing

From early December 2025, App Skills in Excel will be retired and replaced by Agent Mode. If you currently use App Skills through the Copilot chat pane to get help with tasks like data analysis, formula creation, or spreadsheet manipulation, this feature will no longer be available. You'll transition to Agent Mode in Excel, which provides the same capabilities but works directly on your grid for a more seamless experience.

Who It's Changing For

Primary audience: Excel users with Microsoft 365 Copilot who currently use App Skills

Impact: Medium - Will lose access to a familiar feature but gain an improved alternative
How they'll feel: Initially uncertain about the change, but relieved there's a direct replacement with enhanced functionality

Secondary audience: All Excel users with Microsoft 365 Copilot

Impact: Low - Many may not actively use App Skills
How they'll feel: Neutral or curious about the new Agent Mode capabilities

IT Teams/Administrators:

Impact: Low - Minimal support burden since no admin action required
How they'll feel: Relieved that the transition is automatic and straightforward

Why It's Changing

Microsoft is retiring App Skills because having AI assistance split between the chat pane and your actual spreadsheet was inefficient. The old system made you switch contexts constantly - asking questions in one place while working in another. Agent Mode brings everything directly onto the grid where you're already working, so you can perform tasks faster without toggling between different interfaces. This unified approach also means Microsoft can deliver better, more contextual help that understands exactly what you're doing in your spreadsheet, making your AI assistant much more powerful for real Excel work.

When It's Changing

The timeline follows a gradual rollout approach with a clear end date:

Early December 2025: Agent Mode begins rolling out to supported versions
December 2025 - Late February 2026: Transition period as Agent Mode becomes available and App Skills is phased out
Late February 2026: Complete removal of App Skills from Excel

Grace period: The extended rollout gives users time to discover and adapt to Agent Mode before App Skills is fully retired.

This measured timeline allows organizations to transition naturally as the new feature becomes available.

What's in It For You

More intuitive workflow: Get AI assistance right where you're working instead of switching between the chat pane and your spreadsheet
Faster task completion: Perform actions directly on the grid without the extra step of translating chat suggestions into spreadsheet actions
Better context awareness: Agent Mode understands your current work more precisely because it operates directly on your data
Expanded capabilities: Access similar features plus new functionality that wasn't possible in the chat-based approach
Streamlined experience: One consistent way to get intelligent assistance throughout Excel, reducing confusion about when to use which tool

Remember: change succeeds when people understand not just what they must do differently, but why doing it differently serves them better.

Go well and feel free to let me know your thoughts.

Anthony

ps - If you think of someone you know would benefit from joining our community, please care and share, they can sign up here and get them delivered directly to their inbox with early access.