Originally published on AI Tech Connect.
What happened Microsoft is cancelling most internal Claude Code licences across its Experiences + Devices division — the group behind Windows, Microsoft 365, Outlook, Teams and Surface. According to reporting, engineers were told to move their workflows to GitHub Copilot CLI by 30 June 2026, which is also the last day of Microsoft's fiscal year. The tool was not failing — it was thriving. Microsoft opened Claude Code access to the division in December 2025, inviting thousands of developers, product managers and designers. It became popular fast, reportedly popular enough to start displacing Copilot CLI in daily use. The stated rationale is toolchain unification. Per reporting, Microsoft sells Copilot to the world and cannot credibly do so while its own engineers migrate away from it at…
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