Modern Work Weekly - Week of 2026-07-28
A lighter week on volume but with two billing and governance changes that warrant immediate attention: Purview DLM moves to a volume-based billing model, and a new admin control lets you permanently purge People Skills data from your tenant.
Top 5 This Week
Purview DLM billing model changes to volume-based - If your organization retains non-Microsoft 365 generative AI prompts and responses under a DLM policy, your costs are no longer tied to policy count but to data volume at $0.25/GB/month. Model your current retained data volume now before invoices change.
People Skills admin deletion control is GA - You can now permanently nuke your entire tenant Skills library, including all confirmed, inferred, and imported skills data. This is the clean offboarding path for organizations that never fully committed to Viva Skills or have compliance requirements around that data.
RDP Multipath redundant TCP is GA for Windows 365 and Azure Virtual Desktop - TCP-based session resilience is now available alongside the existing UDP path, closing the gap for users behind restrictive firewalls, proxies, or VPN configurations that block UDP. A meaningful reliability win for Cloud PC deployments in constrained network environments.
Auto-labeling of existing SharePoint files from library default labels is coming - Preview lands September 2026, GA in October 2026. This will retroactively apply sensitivity labels to data at rest that currently sits unlabeled, which may trigger DLP policy matches you haven’t planned for. Start auditing library default label configurations now.
Microsoft Incident Response now available to AXA XL policyholders - If your organization carries AXA XL cyber insurance, Microsoft IR services are now directly accessible through that policy. Worth surfacing to your CISO and risk team as a pre-negotiated response resource.
Security & Compliance
Real world incident response: Microsoft and AXA XL strengthen cyber resilience [GA] - If your organization holds AXA XL cyber insurance, Microsoft Incident Response services are now directly integrated into that coverage, coordinating technical, business, and insurance decisions through a single engagement. Practically, this means faster IR activation without separate contract negotiation during an active incident. Share with your CISO and ensure your incident response runbook references this as an available resource.
RDP Multipath with redundant TCP is now generally available for Windows 365 and Azure Virtual Desktop [GA] - RDP Multipath now supports redundant TCP paths in addition to UDP, meaning Cloud PC sessions can maintain connectivity through environments where UDP is blocked by firewalls, proxies, or VPN routing. This directly addresses one of the most common causes of session drops in enterprise Windows 365 deployments. Validate that your network policies allow the required TCP endpoints and test in your most restrictive network segments first.
Microsoft Purview: Data Lifecycle Management - DLM Meter Change [GA] - DLM billing for non-Microsoft 365 generative AI content has shifted from a policy-based model to volume-based, priced at $0.25/GB/month ($0.0082/GB/day). Each AI prompt and response is treated as an individual text message under the retention policy. Run a data volume assessment against your current DLM policies covering AI content immediately to understand cost exposure before the first invoice under the new model arrives.
Microsoft Copilot (Microsoft 365): People Skills - removal and deletion admin control [GA] - A new admin-only control in People Skills settings allows permanent, irreversible deletion of the entire tenant Skills library, including all confirmed, inferred, and imported skills data. Once triggered, skills disappear from profile cards and all Microsoft 365 skills-based surfaces including Copilot and Viva. If your organization is offboarding from People Skills or has data residency or compliance requirements around that dataset, this is the supported path, but treat it as a one-way door and ensure stakeholders are aligned before initiating.
Microsoft Purview: Information Protection - Apply default SharePoint library labels to data at rest [Preview] - Starting September 2026 in preview and GA in October 2026, existing unlabeled SharePoint files will be auto-labeled to match their document library’s configured default sensitivity label. This closes a significant labeling gap for data at rest but will trigger DLP policy evaluations against previously unclassified content. Audit your SharePoint library default label configurations now and identify libraries where a blanket label application could cause unintended DLP blocks or over-sharing alerts before the preview rolls out.
Action Required
Purview DLM Meter Change [GA, billing impact immediate] - The volume-based billing model for DLM on non-Microsoft 365 AI content is live. Assess the total retained data volume under your DLM policies covering generative AI prompts and responses before your next billing cycle to avoid surprise costs. Engage your Purview and FinOps stakeholders to model spend under the new $0.25/GB/month rate.
SharePoint library default label auto-labeling [Preview September 2026, GA October 2026] - With roughly 60 days to preview, now is the time to audit all SharePoint document libraries with default sensitivity labels configured. Identify any libraries where auto-applying the default label to existing unlabeled files at rest could trigger DLP policy matches, oversharing alerts, or access restrictions that users and business owners haven’t been prepared for.
People Skills deletion control [GA, governance decision required] - If your organization has People Skills data you need to remove for compliance, GDPR, or data governance reasons, the permanent deletion control is now available. Deletion is irreversible and removes all skills data from Copilot and Viva surfaces. Establish a governance decision and approval process internally before anyone exercises this control.
Sources
- https://www.microsoft.com/en-us/security/blog/2026/07/22/real-world-incident-response-microsoft-and-axa-xl-strengthen-cyber-resilience/
- https://techcommunity.microsoft.com/t5/windows-it-pro-blog/rdp-multipath-with-redundant-tcp-is-now-generally-available-for/ba-p/4534610
- https://www.microsoft.com/microsoft-365/roadmap?id=560324
- https://www.microsoft.com/microsoft-365/roadmap?id=565905
- https://www.microsoft.com/microsoft-365/roadmap?id=559105
