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Microsoft’s New Copilot Default Model

Microsoft’s New Copilot Default Model

Coding Agents

Microsoft's in-house coding model, reported as Project Polaris, replaces GPT-4 Turbo as GitHub Copilot's default engine starting August 2026.

GitHub Copilot’s default model is changing this month, and it’s not a newer OpenAI model doing the replacing. Microsoft’s in-house coding model — widely reported under the codename “Project Polaris” since its unveiling at Build 2026 on June 2 — becomes the default reasoning engine for every Copilot subscriber starting in August 2026, ending the product’s reliance on GPT-4 Turbo.

Quick facts

  • Microsoft’s in-house coding model replaces GPT-4 Turbo as GitHub Copilot’s default starting August 2026, migrating automatically for all subscribers.
  • It’s a Mixture-of-Experts model with sub-modules specialized by programming language, using chain-of-thought and tree-of-thought reasoning for multi-file edits.
  • Teams that want to stay on GPT-4 Turbo get an optional fallback window through November 2026 before automatic migration becomes permanent.
  • Other models, including Claude, Gemini, and Grok, remain selectable inside Copilot; this changes the default, not the only option.
  • Microsoft’s own benchmark claims, outperforming GPT-4 Turbo on HumanEval and MBPP, haven’t been independently verified as of this writing.

Why Microsoft built its own coding model

GitHub Copilot has run on OpenAI models since it launched, and that dependency has shaped the product’s economics from day one. The timing here isn’t incidental: Microsoft and OpenAI restructured their partnership on April 27, 2026, ending Azure’s exclusivity over OpenAI model distribution and letting OpenAI sell through AWS and Google Cloud as well. Building a proprietary coding model gives Microsoft control over its own roadmap for its highest-volume developer product, reduces per-token costs, and stops it from being undercut on pricing inside its own platform, while Microsoft retains an IP license to OpenAI’s models through 2032, so this is a rebalancing, not a breakup.

What the model actually does differently

The architecture is a Mixture-of-Experts design with sub-modules tuned to specific programming languages and frameworks, running on Microsoft’s own Maia AI accelerators inside Azure rather than third-party infrastructure. Microsoft says it’s particularly strong on low-resource languages like Rust and Haskell, where general-purpose models more often hallucinate APIs that don’t actually exist, a real, specific weak point in current-generation coding assistants. At inference time, the model uses chain-of-thought and tree-of-thought reasoning aimed at multi-file refactors, the category of task where simpler single-file suggestion models tend to fall apart.

It shipped alongside a second, arguably more consequential change: multi-agent mode in VS Code, now in public preview, which lets an orchestrator agent spawn parallel subagents that handle linting, testing, documentation, and security review simultaneously instead of one after another on the same session. That pairs directly with the model swap, since a faster, cheaper in-house model matters more once Copilot is running several agent sessions in parallel rather than one at a time.

What to actually do before the migration

The migration is automatic and requires no enrollment, and Microsoft isn’t changing plan pricing alongside it. If your team has workflows tuned specifically around GPT-4 Turbo’s behavior, particular prompt patterns, expected output formatting, known failure modes you’ve already built tooling around, the practical move is to test the new model against your actual codebase during the fallback window rather than waiting for the hard cutover. The fallback to GPT-4 Turbo runs through November 2026; after that, reverting requires switching to GPT-4 Turbo manually as a selectable model rather than getting it by default.

How this fits the broader coding-agent landscape

Copilot isn’t competing in a vacuum. On Terminal-Bench 2.1, independent tracking currently shows GPT-5.6 Sol at 89.5% and Claude Opus 5 close behind at 89.1%, with the two most widely used coding agents essentially tied on their default configurations. Against that backdrop, Microsoft controlling its own model, rather than depending on whichever frontier model OpenAI ships next, is as much a strategic hedge as a capability play. With roughly 4.7 million paid Copilot subscribers and reported adoption across the large majority of Fortune 500 companies, even a modest quality change at the model layer affects an enormous amount of code being written daily.

Common questions

Do I need to do anything right now? No. Migration is automatic. If you want to test before the switch fully lands, check your Copilot model settings for a preview toggle; otherwise it happens on its own.

Will this cost more? Microsoft says plan pricing isn’t changing alongside the model swap. Copilot’s broader move to usage-based billing via GitHub AI Credits happened separately, on June 1, 2026.

Can I keep using Claude or Gemini inside Copilot instead? Yes. This change is only about which model is selected by default; Copilot’s multi-model picker, including Claude, Gemini, and Grok, isn’t going away.

What happens after the November fallback window closes? Reverting to GPT-4 Turbo will require manually selecting it from the model picker each time, rather than getting it as your default.

Key takeaway

If you use GitHub Copilot and haven’t opted into anything, you’re getting a new default model this month whether you asked for it or not. The fallback to GPT-4 Turbo exists specifically so you don’t have to find out the hard way whether the new model handles your codebase as well as advertised, so use the window through November to actually check, rather than assuming Microsoft’s internal benchmarks translate to your specific stack.

Up Next
South Korea Ships Two 700B+ AI Models

South Korea Ships Two 700B+ AI Models

Model Comparisons

SK Telecom's A.X K2 and LG's K-EXAONE 2.0 both launched within 48 hours under Apache 2.0 licensing, competing for Korea's National AI Foundation Model project.

South Korea released two frontier-scale open-source AI models within 48 hours of each other. SK Telecom published A.X K2, a 688-billion-parameter model, on Hugging Face on July 29, 2026; LG AI Research followed on July 31 with K-EXAONE 2.0, a 750-billion-parameter model. Both are competing for the same prize: Korea’s National AI Foundation Model project, a government initiative to prove the country can build frontier-class AI entirely with domestic technology.

Quick facts

  • K-EXAONE 2.0 (LG AI Research): 750 billion total parameters, 37 billion active per token, released July 31, 2026 under Apache 2.0.
  • A.X K2 (SK Telecom): 688 billion parameters, released July 29, 2026, also Apache 2.0 licensed.
  • Both use a Mixture-of-Experts architecture with a 262,144-token context window — nearly identical technical blueprints from competing teams.
  • K-EXAONE 2.0 scored 70.1 average across 24 benchmarks, up from 63.3 for its 236-billion-parameter predecessor — a jump of over 10%, with a roughly 30% improvement specifically on coding and agentic-coding benchmarks.
  • On long-context comprehension (OpenAI-MRCR), K-EXAONE 2.0 scored 94.4, ahead of the 71.5 LG reports for Zhipu AI’s GLM-5.1 on the same test.

Why two labs shipped almost the same thing at almost the same time

This isn’t a coincidence of timing so much as a shared deadline. Both companies are competing teams inside South Korea’s Independent (Sovereign) AI Foundation Model Project, run by the Ministry of Science and ICT, which is heading into a second-phase evaluation round. According to TechTimes’ reporting, a third major team — Motif Technologies — has not yet released a comparable public model ahead of the evaluation, leaving LG and SK Telecom as the two clearest public data points so far.

Both companies made the same licensing bet, too: full Apache 2.0, the same permissive license Meta uses for Llama, allowing any company anywhere to download, modify, and deploy either model commercially with no royalty and no obligation to release their changes. For LG specifically, that’s a real shift — The Elec reports that earlier EXAONE releases used more restrictive licensing, making K-EXAONE 2.0 the first fully commercially permissive release in the series.

What K-EXAONE 2.0 actually improved

LG’s model more than tripled in size from its 236-billion-parameter predecessor, and the performance gains tracked with that: a 10%+ jump in average benchmark score across 24 tests spanning nine categories — knowledge, math, coding, agentic tasks, instruction following, long-context understanding, multilingual performance, and safety — plus a roughly 30% improvement specifically on coding and agentic-coding evaluations. LG also added Multi-Token Prediction and a technology it calls DSpark, which the company says makes text generation three to five times faster during inference. Language support expanded to 10 languages, up from a narrower Korean-and-English focus.

LG’s own technical report is notably candid that the model doesn’t win every comparison — it acknowledges trailing some competitors in specific areas, even as it leads on long-context tasks like OpenAI-MRCR and the Korean-language Ko-LongBench benchmark, where LG reports K-EXAONE 2.0 beat China’s GLM-5.1 by more than 10% on average across the three long-context tests it compared.

What this means if you’re choosing an open-weight model

For teams evaluating open-source models to self-host or fine-tune, both releases are immediately usable under fully commercial terms, and both now sit in the same size and architecture class as the leading Chinese open-weight releases they’re explicitly benchmarked against. The practical differentiators right now are strongest multilingual coverage (K-EXAONE 2.0’s 10 languages) versus SK Telecom’s own positioning for A.X K2, and long-context performance, where LG’s published numbers currently lead. Neither model has had significant independent, third-party benchmark verification yet — the figures above come from each company’s own technical reporting.

Side by side: K-EXAONE 2.0 vs. A.X K2

  • Developer: K-EXAONE 2.0 — LG AI Research. A.X K2 — SK Telecom.
  • Release date: K-EXAONE 2.0 — July 31, 2026. A.X K2 — July 29, 2026.
  • Total parameters: K-EXAONE 2.0 — 750 billion. A.X K2 — 688 billion.
  • Architecture: both use a Mixture-of-Experts design with a 262,144-token context window — K-EXAONE 2.0 activates roughly 37 billion parameters per token, selecting 8 of 256 specialized expert modules for each generated token.
  • License: both Apache 2.0, fully commercial, no restrictions.
  • Predecessor size: K-EXAONE 2.0 more than tripled its 236-billion-parameter predecessor; SK Telecom has not published an equivalent first-generation comparison for A.X K2 in the reporting reviewed here.

The architectural convergence is itself notable: two separate Korean teams, working independently under the same government program, landed on nearly identical technical choices — MoE routing, the same context window length, the same licensing model. That’s less a coincidence than a signal about where the current competitive frontier for mid-size sovereign AI models actually sits right now.

Key takeaway

Two competing Korean teams just put frontier-scale, fully commercial open-weight models into the same window as the leading Chinese open releases, and did it under deliberate government pressure to prove Korea can build this domestically. Whichever model wins the government evaluation, both are already downloadable and usable today — worth a real evaluation against your own workload rather than taking either company’s benchmark numbers at face value.