Microsoft has introduced new AI features in its latest Windows 11 preview build, with a focus on dictation and camera tools. The update, Build 26120.5790 for the Beta Channel, highlights improvements designed for Copilot+ PCs. These unique capabilities will reach Intel-powered devices before Qualcomm Snapdragon models, marking a shift in rollout strategy. The preview also adds refinements to File Explorer and system stability while testing enhancements for upcoming Windows releases.
Windows 11 Fluid Dictation Debuts on Copilot+ PCs
According to Microsoft, the new build adds “fluid dictation” for Copilot+ PCs. This feature, powered by on-device small language models, corrects grammar and punctuation automatically during voice input. It also removes filler words such as “um” and “you know,” helping create clearer text output without manual editing. The company explained that fluid dictation works across text applications but remains disabled in secure fields like passwords or PINs for privacy reasons.
The feature is available in all English locales and is enabled by default, though users can toggle it within voice access settings. Feedback on this feature can be submitted through the Feedback Hub under the Accessibility > Voice access section. Microsoft emphasised that the dictation tool delivers faster and more private processing since it runs locally. By integrating this function into Copilot+ PCs, the company aims to streamline voice-based workflows, particularly for professionals relying on accurate transcription.
Windows 11 Studio Effects Expand to External Webcams
The other major addition is the expansion of Windows Studio Effects to external webcams. So far, the AI-based video tools used were mostly confined to the integrated laptop cameras. The update allows users to use features like auto face framing, blur background, and visual effects in their supported USB webcams in addition to the rear laptop ones. Microsoft specified the procedures to allow the option. To turn on Windows Studio Effects, users need to go to Settings > Bluetooth and devices > Cameras, choose the desired device, and go to the advanced options to turn it on. When turned on, it is possible to make changes via the camera settings page or via quick settings on the taskbar.
The update is currently compatible with Copilot+ PCs running on Intel and will add AMD and Snapdragon devices in the weeks ahead. Microsoft has indicated that an update to Studio Effects will be a mandatory software update, which will be released initially on Intel hardware. Feedback is being gathered in the Feedback Hub in Desktop Environment > Studio Effects. What is significant about this rollout is that Microsoft has previously focused on Snapdragon devices to utilise new capabilities of Windows.
File Explorer and System Fixes in Beta Channel
New interactions in File Explorer are also available in Windows 11 Insider Preview Build 26120.5790. Quick commands, such as Open file location and Ask Copilot about this file, are shown when a user hovers over a file in File Explorer Home. This is the current state of integration, and work and school accounts should be supported in a future build. This functionality is not rolled out in the European Economic Area yet. Other additions are an updated agent in Settings that serves users of French as their native display language. The Advanced Settings for developers will revert to an earlier layout temporarily, but Microsoft promised to reverse the change in the upcoming versions.
The build fixes some performance and stability problems. Improvements encompass fixing lag in File Explorer, misaligned app preview windows in the taskbar and storage scanning errors in temporary files. Other fixes include event errors involving Microsoft Pluton Cryptographic Provider and context menu bugs when right-clicking in some applications. New known issues were also observed at Microsoft. There may be bug checks on some devices when hibernating after the last flight, and some may have issues with the audio driver. The company also included troubleshooting information on audio hardware Device Manager errors. Bluetooth-linked Xbox controllers are also triggering bug checks, with Microsoft providing instructions on how to uninstall problem drivers.
Preparing for Windows 11 25H2
These updates are delivered as part of planning the Windows 11 25H2 release. Microsoft stated that versions 24h2 and 25h2 will be the same in the number of features, even though active testing is being done in the Beta Channel. The company noted that most of these features were being implemented as a Controlled Feature Rollout technology. Features that are published in preview releases might not ever become widely available, Microsoft said, as the company tries out an array of options and reviews feedback.
Certain features can only be added to future Windows releases after additional development. Through this release, Microsoft has gone further to advance AI-powered functionality into Windows 11. The company is expanding its work on improving user experience by extending Studio Effects to external webcams and launching advanced dictation, among other things. The move to focus on Intel-based Copilot+ PCs offers yet another dimension of relevance, as hardware choices in the Windows ecosystem realign.