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Learn moreUnlocking Intelligent Automation: Combining AI, Copilot Studio Agents, and Power Automate
Thursday, October 9, 2025
Reading time: 5 minutes
As part of Microsoft’s agentic future vision, and as AI capabilities expand across the Microsoft ecosystem, partners are increasingly asking: “If I have AI, do I still need Power Automate?”
This article addresses that misconception and outlines why Power Automate remains essential, even in an AI-first world. By combining AI, Copilot Studio Agents and Power Automate, partners can deliver intelligent, scalable, and integrated automation solutions that align with Microsoft’s strategic direction and unlock new commercial opportunities.
AI in Relation to Copilot Studio Agents and Power Automate
Copilot Studio Agents are low-code AI-powered interfaces that interact with users via a natural language interface, can trigger backend processes and deliver contextual responses. AI in Copilot Studio includes the capabilities of generative models, orchestration logic, and plugin connectors that enable reasoning and decision-making.
Power Automate is Microsoft’s automation engine, enabling workflows across Microsoft 365, Dynamics 365, Azure, and over 1,500 third-party services. Together, these tools form a complementary stack, not a replacement model.
Benefits of Combining AI and Power Automate
Microsoft Copilot Studio Agents can use Power Automate cloud flows to orchestrate actions, using something that is increasingly referred to as classic orchestration, especially when integrating with external systems or performing backend tasks. This can be used alongside generative orchestration which can use AI to select tools, topics and drive actions dynamically.
Therefore, Power Automate can be used to extend agent behaviour, by handling the “what happens next” logic after an AI trigger to execute backend logic such as approvals, data updates, and notifications. These flows can be triggered by an agent and return responses in real time.
Power Automate also supports GPT-based orchestration through AI Builder and OpenAI connectors. Partners can embed AI reasoning into flows using custom prompts or GPT actions, enabling intelligent automation scenarios such as summarisation, content generation, and decision support.
Integration with the Microsoft Ecosystem
Power Automate remains a robust and scalable tool for automating business processes across Dataverse, Dynamics 365 and Microsoft 365. Copilot Studio Agents can trigger Power Automate flows to execute backend logic, especially when connecting to external systems or performing structured tasks. Power Automate can act as the execution engine for AI agents, ensuring reliability and scalability, helping ensure that AI agents are not siloed, but instead embedded within enterprise workflows.
Microsoft Teams, Outlook, Dynamics 365, and SharePoint can all benefit from native integration with Power Automate, which Copilot Studio can leverage. For Business Central, Partners can use Power Automate across finance, sales, and operations workflows, and then expose them via Copilot Studio Agents.
And, with over 1,500 connectors, Power Automate enables integration with virtually any business app or service, something generative AI capabilities alone cannot currently achieve.
Therefore, AI may not always be necessary, Power Automate can handle many common automations around notifications and approvals efficiently, especially when looking to connect disparate systems without heavy development overhead.
Licensing and Commercial Opportunities
Copilot Studio licensing includes Power Platform entitlements, but partners must understand flow limits and premium connector requirements. Power Automate licensing tiers (per user, per flow, unattended RPA) offer flexibility for scaling automation. Flows triggered by agents may consume Power Platform capacity and require premium licensing.
Partner value-adds around Copilot Studio and Power Automate could include:
- Designing hybrid AI and automation solutions for vertical and horizontal use cases
- Offering managed services for flow governance, optimisation, and lifecycle management
- Packaging reusable templates and connectors into industry-specific solutions
- Monetising connectors and orchestration logic as part of packaged solutions
Conclusion
AI and Copilot Studio Agents enhance Power Automate, rather than replacing it. For Microsoft partners, combining these tools can unlock a powerful automation strategy that can balance AI innovation with proven workflow capabilities. Throughout, Power Automate remains as the backbone of intelligent orchestration, integration, and execution. Partners who understand how to combine these tools will be best positioned to deliver scalable, intelligent automation aligned with Microsoft’s agentic roadmap.
To explore how your organisation can leverage AI, Copilot Studio, and Power Automate together, engage with Companial’s partner enablement services team. We offer technical guidance, solution templates, and commercial strategy support to help you build scalable, AI-powered automation solutions.
Whilst we all know that the C in CRM (or CE) stands for Customer, for many partners in our community and for us, our first association would usually be linked to Chris. Whether you meet Chris at an (online) event, attend one of his webinars or listen to his latest podcast episode, he is all about Dynamics 365 and its inseparable link with the Power Platform. Apart from this ambassador role, his true passion is helping translate a vision into simplified actions that partners can take to enable them to succeed and grow.
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