Tag: DLP policy for Copilot

An article by a company specializing in penetration tests raised some questions about how attackers might use Copilot for Microsoft 365 to retrieve data. The article is an interesting read and reveals how Copilot can reveal data in password protected Excel worksheets. However, many of the issues raised can be controlled by applying available controls, and the biggest worry is lhow the account being used to run Copilot came to be compromised!

First introduced in March 2025 to block access to sensitive documents by BizChat, Microsoft has extended the DLP policy for Copilot to cover the web and desktop versions of the Office apps (Word, Excel, and PowerPoint). The implementation works but could confuse users. It might be better if Microsoft simply removes all traces of Copilot when working with files subject to the DLP policy.