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    Announcement

    GitHub Copilot is set to route tasks between local and cloud AI models

    GitHub says local routing could save AI credits; Microsoft also announced MXC, an on-device sandbox for agents.

    Sriram KrishnanSK
    Satya NadellaSN
    Georgi GerganovGG
    13 Sources, ,

    TLDR

    Microsoft said in October 2026 that GitHub Copilot would choose between local and cloud models based on the task. GitHub said routing suitable tasks locally could save AI credits. Microsoft CEO Satya Nadella said its MAI-Code-1.1 Flash coding model is optimized to run on PCs. He also outlined Hybrid Intelligence, which he said lets Copilot act on a PC while keeping sensitive work on-device, and MXC, a local sandbox for agents.

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    13 Sources, first seen 2h ago

    Combined views

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    13 Sources, first seen 2h ago

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    Today's Rank

    #6

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    #6

    13 Sources

    Microsoft Developer@msdevWe're bringing local models and sandboxed tools to Windows and GitHub Copilot Coming soon, GitHub Copilot will determine when a task is best handled by on-device intelligence and when it should leverage cloud-scale models. https://commandline.microsoft.com/local-models-sandboxed-tools-github-windows/2h
    GitHub@github📣 Coming soon to GitHub Copilot: intelligent local model routing. We are excited to announce the next step in our Project HydraFusion vision. GitHub Copilot will soon be able to automatically route tasks to a local model when it's most suitable, helping you save on AI credits.2h
    Satya Nadella@satyanadellaToday marks a new chapter for Windows, as we bring unmetered intelligence to every desk and every home, and make every PC a place where agents can work securely on your behalf. Some highlights of what we announced: • MAI-Code-1.1 Flash: 137B parameter coding model w/ 256K context window, which is now optimized to run on your PC! • GitHub Copilot now hands off work to local models like MAI-Code-1.1 Flash, helping projects cost a lot less without sacrificing quality. • With Hybrid Intelligence, Copilot can now take action directly on the PC and keep sensitive work on your device. • And with Code in Copilot, you can essentially build any software you need on your desktop, without any cloud token spend, and it’s just super at it. You’re no longer limited to what’s in an app store! Your PC becomes an infinite software factory. • Security is foundational to all this, which is why we are also bringing together Windows and Agent 365 so agents can work within secure boundaries on-device, including MXC a local sandbox for agent execution. Windows becomes your secure agent box! • All this comes to life on a new generation of devices, like Surface Laptop Ultra, powered by NVIDIA RTX Spark. Can’t wait to see what you build with all this.2h
    Georgi Gerganov@ggerganovIt is very cool to see llama.cpp on the big stage in todays Windows event! The software and hardware stacks are finally coming together. Our community has put a lot of hard work in the past years and it shows. Looking forward to more users embracing local AI.1h
    Sriram Krishnan@sriramkWe are in a very unique moment with agents. It was a delight to be invited by @Microsoft to their reveal today of several new agentic capabilities for Windows and to talk to @satyanadella and @JensenHuang . - MXC containers - a local sandbox for agentic execution. - Hybrid intelligence of actions that can take effect using local models or be routed to models in the cloud. - Brand new Copilot experiences around agentic usage (@jacobandreou had a very fun demo doing his taxes without any remote models being involved) - Powered on a new gen of local hardware starting with the Surface Laptop Ultra/ Nvidia RTX Spark. Stepping back, we are obviously at the beginning of a new era of agents and we are figuring out new primitives and standards as we go along. I for one am looking forward to not having to give my agents full access to everything for menial tasks. Some photos from today.1h
    Rohan Paul@rohanpaul_aiMicrosoft just announced that Copilot will hand routine coding from Anthropic's Claude Haiku 4.5 to Microsoft's MAI-Code-1.1-Flash (a 137B total and 6.8B active param model) running on Nvidia-powered PCs A model router will keep th routine work on the machine and this local model calls carry no inference charge. The on-device MAI-Code-1.1-Flash uses 3-bit quantization yet keeps its 256K-token context window, and Microsoft says it scores the same as full precision on SWE-Bench Verified and Terminal-Bench 2.1. Microsoft's hardware for the shift is the Surface Laptop Ultra from $2,599 and the Surface RTX Spark Dev Box from $5,999 Both run on Nvidia's RTX Spark, an Arm-based chip with a Blackwell GPU and up to 128GB of memory shared by processor and graphics. Also, Microsoft made its agent sandbox, Microsoft Execution Containers (MXC), generally available on Windows 11. Companies can now set which files and network locations an agent may use, and Windows blocks everything else while the agent runs, with isolation levels ranging from separate processes and sessions up to virtual machines and cloud PCs.1h
    🍉 Abubakar Abid@abidlabsThe Windows launch event today has mentioned "local AI" 41 times (so far) 🤯1h
    Greg Kamradt@GregKamradt@sriramk @Microsoft @satyanadella @JensenHuang This is awesome59m

    13 Sources

    Microsoft Developer@msdevWe're bringing local models and sandboxed tools to Windows and GitHub Copilot Coming soon, GitHub Copilot will determine when a task is best handled by on-device intelligence and when it should leverage cloud-scale models. https://commandline.microsoft.com/local-models-sandboxed-tools-github-windows/2h
    GitHub@github📣 Coming soon to GitHub Copilot: intelligent local model routing. We are excited to announce the next step in our Project HydraFusion vision. GitHub Copilot will soon be able to automatically route tasks to a local model when it's most suitable, helping you save on AI credits.2h
    Satya Nadella@satyanadellaToday marks a new chapter for Windows, as we bring unmetered intelligence to every desk and every home, and make every PC a place where agents can work securely on your behalf. Some highlights of what we announced: • MAI-Code-1.1 Flash: 137B parameter coding model w/ 256K context window, which is now optimized to run on your PC! • GitHub Copilot now hands off work to local models like MAI-Code-1.1 Flash, helping projects cost a lot less without sacrificing quality. • With Hybrid Intelligence, Copilot can now take action directly on the PC and keep sensitive work on your device. • And with Code in Copilot, you can essentially build any software you need on your desktop, without any cloud token spend, and it’s just super at it. You’re no longer limited to what’s in an app store! Your PC becomes an infinite software factory. • Security is foundational to all this, which is why we are also bringing together Windows and Agent 365 so agents can work within secure boundaries on-device, including MXC a local sandbox for agent execution. Windows becomes your secure agent box! • All this comes to life on a new generation of devices, like Surface Laptop Ultra, powered by NVIDIA RTX Spark. Can’t wait to see what you build with all this.2h
    Georgi Gerganov@ggerganovIt is very cool to see llama.cpp on the big stage in todays Windows event! The software and hardware stacks are finally coming together. Our community has put a lot of hard work in the past years and it shows. Looking forward to more users embracing local AI.1h
    Sriram Krishnan@sriramkWe are in a very unique moment with agents. It was a delight to be invited by @Microsoft to their reveal today of several new agentic capabilities for Windows and to talk to @satyanadella and @JensenHuang . - MXC containers - a local sandbox for agentic execution. - Hybrid intelligence of actions that can take effect using local models or be routed to models in the cloud. - Brand new Copilot experiences around agentic usage (@jacobandreou had a very fun demo doing his taxes without any remote models being involved) - Powered on a new gen of local hardware starting with the Surface Laptop Ultra/ Nvidia RTX Spark. Stepping back, we are obviously at the beginning of a new era of agents and we are figuring out new primitives and standards as we go along. I for one am looking forward to not having to give my agents full access to everything for menial tasks. Some photos from today.1h
    Rohan Paul@rohanpaul_aiMicrosoft just announced that Copilot will hand routine coding from Anthropic's Claude Haiku 4.5 to Microsoft's MAI-Code-1.1-Flash (a 137B total and 6.8B active param model) running on Nvidia-powered PCs A model router will keep th routine work on the machine and this local model calls carry no inference charge. The on-device MAI-Code-1.1-Flash uses 3-bit quantization yet keeps its 256K-token context window, and Microsoft says it scores the same as full precision on SWE-Bench Verified and Terminal-Bench 2.1. Microsoft's hardware for the shift is the Surface Laptop Ultra from $2,599 and the Surface RTX Spark Dev Box from $5,999 Both run on Nvidia's RTX Spark, an Arm-based chip with a Blackwell GPU and up to 128GB of memory shared by processor and graphics. Also, Microsoft made its agent sandbox, Microsoft Execution Containers (MXC), generally available on Windows 11. Companies can now set which files and network locations an agent may use, and Windows blocks everything else while the agent runs, with isolation levels ranging from separate processes and sessions up to virtual machines and cloud PCs.1h
    🍉 Abubakar Abid@abidlabsThe Windows launch event today has mentioned "local AI" 41 times (so far) 🤯1h
    Greg Kamradt@GregKamradt@sriramk @Microsoft @satyanadella @JensenHuang This is awesome59m