What’s New in Dynamics 365 Contact Centre: Wave 2 2025

The future of customer service is fast, intelligent, and connected and Microsoft is continuing to lead the way with its 2025 Release Wave 2 for Dynamics 365 Contact Centre. Covering new features and enhancements rolling out from October 2025 to March 2026, this release focuses on AI-powered assistance, smarter omnichannel experiences, deeper insights for supervisors, and advanced automation for routing and workforce management.

Whether you’re planning a new implementation or looking to maximise your existing solution, this release wave delivers the tools you need to create a modern, efficient, and customer-centric contact centre.

Key Takeaways

Copilot and Agentic AI enhancements help service reps resolve issues faster and generate case summaries automatically.
New IVR capabilities allow customers to self-serve using voice-powered experiences built in Copilot Studio.
Improved omnichannel features connect customers across voice, chat, SMS, social, and Teams, backed by real-time analytics.
Supervisors gain deeper visibility into performance with custom metrics and actionable insights.
New workforce engagement tools support scheduling, training, feedback, and performance management.

Copilot and AI Innovation

Boosting productivity with generative AI

Microsoft continues to evolve its Copilot-first approach, placing generative AI at the heart of contact centre operations. With Wave 2, Copilot is better equipped than ever to draft contextual replies, summarise cases, and automate repetitive tasks.

Highlights of AI-powered upgrades:

Case and conversation summaries in one click
AI-sourced answers from internal and external knowledge bases
Natural language queries for service reps to ask Copilot for case assistance
Customer Intent Agent to resolve complex issues autonomously (GA: Oct 2025)
Feedback agent for digital channels (GA: Oct 2025)
Real-time translation enhancements (GA: Oct 2025)
Intent-based routing (GA: Oct 2025)

These innovations make it easier for agents to focus on high-value tasks, improve resolution times, and deliver more personalised service.

Smarter IVR Capabilities

Empowering voice self-service

With Copilot Studio behind the scenes, new conversational IVR features allow businesses to design more natural, flexible voice interactions.

Instead of frustrating call trees and menus, customers can now speak naturally, getting answers quickly or routing to the right team without friction.

Omnichannel Customer Experiences

One platform, all touchpoints

Dynamics 365 Contact Centre enables seamless customer engagement across multiple channels including live chat, voice, SMS, social media, Teams, and more.

What’s new in Wave 2:

Proactive engagement outcomes visibility (GA: Oct 2025)
Rich media messaging across channels
Persistent conversation history
Data masking for privacy compliance
Secure consult and transfer for PSTN and IVR
Lifecycle monitoring of work items and reps in Application Insights

These features allow agents to maintain context across channels while giving supervisors real-time insights into service performance.

Enhanced Service Representative Experience

A workspace built for performance

The agent desktop gets a major productivity boost in this release, with deep AI integration, session management, and new tools to support complex workflows.

New enhancements include:

Noise suppression for clearer communication
Pre-connection audio checks
Intent-based routing for conversation transfers
Call hold features for consulting reps
Multi-interaction support with no context loss

With these upgrades, service reps can multitask efficiently, handle more volume, and maintain a higher level of customer service.

Supervisor Experience and Operational Insights

Smarter oversight in real time

Supervisors play a crucial role in maintaining service quality, and the Wave 2 updates give them better tools to monitor, intervene, and optimise.

Key capabilities:

Sentiment detection with alerts for negative trends
Agent performance visibility
Custom metrics and dashboards
Workforce optimisation through extensibility

Supervisors can now track conversations as they happen, manage escalations faster, and adjust workloads proactively, without disrupting operations.

Unified Routing for Better Customer Outcomes

Intelligent, AI-driven case assignment

The unified routing engine in Dynamics 365 Contact Centre continues to improve with more intelligent, rules-based routing that ensures every customer interaction reaches the most qualified agent regardless of channel.

What’s new in Wave 2:

AI-based work classification across chat, voice, and messaging
Skill-based routing using customer-defined criteria
Percent-based routing for controlled distribution
Overflow management to redirect when queues are full
Preferred rep routing to improve continuity and satisfaction
Automatic consult-to-queue transfers

These features reduce manual workload and provide a more consistent, personalised customer journey automatically.

Workforce Engagement Management (WEM)

Empowering your people for better performance

Workforce engagement is a critical part of contact centre success. This release wave adds robust WEM features that support both agent productivity and well-being.

WEM capabilities include:

Forecasting and scheduling to meet service demand
Performance tracking and feedback
Quality assurance through conversation monitoring
Targeted training and development plans
Engagement insights to align personal goals with business objectives

A well-supported team means faster resolutions, happier customers, and lower attrition.

Real-World Scenario: Faster Complaint Resolution with AI

Imagine a scenario in a large contact centre where a customer speaks to an agent about a frustrating billing issue. The human agent misses a key complaint buried in the conversation. However, AI Copilot, working in the background, detects the complaint from the call transcript.

Here’s what happens next:

The complaint is automatically flagged and categorised by an AI agent.
A detailed report is generated with context, transcript highlights, and suggested next actions.
If the issue is governed by industry regulations, a compliance agent kicks in to escalate the case.

This flow ensures no issue goes unnoticed, keeps the company compliant, and boosts trust with customers.

Administrator Enablement: What You Need to Know

Features enabled automatically

Some new features are automatically activated and may impact the user experience. Admins should review these to prepare teams accordingly.

Look for features tagged “Users, automatically” in the release notes.

Features that require configuration

Several updates must be enabled or configured manually by administrators, makers, or analysts.

These are tagged “Users by admins, makers, or analysts” in the release plan, and include capabilities like:

Intent-based routing
Feedback agents
Data masking
Enhanced translation
Custom metrics in supervisor dashboards

Early Access Starts July 28, 2025

Businesses can begin testing new features via early access from 28 July 2025 to prepare ahead of general availability in October.

How to Get Started

To take full advantage of the Wave 2 release, we recommend:

Reviewing the full Release Plan to understand all capabilities
Engaging your application administrators for change management
Exploring training resources and user documentation
Testing new features early in a sandbox environment
Speaking with your Microsoft partner for tailored advice

Read the full details from Microsoft here.

Frequently Asked Questions (FAQ)

Q1. What is Dynamics 365 Contact Centre?

Dynamics 365 Contact Centre is Microsoft’s Copilot-first contact centre platform, designed to unify customer interactions across all channels, improve agent efficiency, and empower businesses with AI-driven insights and automation.

Q2. When will the Wave 2 2025 features be available?

Features begin rolling out in October 2025, with early access starting 28 July 2025.

Q3. How does Copilot help customer service reps?

Copilot assists by drafting responses, summarising conversations, surfacing relevant knowledge, and handling routine tasks, making agents faster and more effective.

Q4. What channels are supported in the omnichannel experience?

Supported channels include voice, SMS, live chat, Microsoft Teams, and social media, all in one unified agent desktop.

Q5. Is customer data secure in Dynamics 365 Contact Centre?

Yes. Features like data masking, secure consult/transfer, and Microsoft’s robust Azure security standards ensure compliance and data protection.

Q6. Can we customise metrics for supervisors?

Absolutely. Supervisors can now extend data models, add new metrics, and build tailored dashboards to track performance and make better decisions.