Microsoft to announce MAI-Thinking-1 reasoning model and Windows 11 developer mode at Build

Microsoft will unveil MAI-Thinking-1, its first reasoning model, at the Build conference on June 2, 2026, according to sources cited by The Verge's Tom Warren. The model was not trained using distillation — meaning it wasn't trained by learning from another AI model's outputs — and will target enterprise use cases.

Microsoft AI chief Mustafa Suleyman will present the model alongside announcements of MAI-Image-2.5 and MAI-Image-2.5-Flash, which Suleyman teased last week. Pricing, context windows, and benchmark scores have not been disclosed.

Windows 11 developer experience

Microsoft plans to announce a new Windows 11 developer-optimized experience featuring a distraction-free environment with pre-installed development tools, apps, and scripts. The company will also detail efforts to rewrite parts of Windows 11 for improved performance, building on improvements already rolling out to Windows Insiders.

The conference will emphasize local model execution on Windows, allowing developers to run AI models on-device rather than relying on cloud services. This includes support for Nvidia's RTX Spark silicon, which Nvidia announced as "the most efficient PC chip ever built" at Computex.

Copilot super app in development

Microsoft is building a Copilot "super app" that combines its various Copilot AI assistants into a single interface, according to sources. The app will include Microsoft Scout, an AI agent reportedly based on Microsoft's OpenClaw work. A leaked screenshot circulating on Friday was a mockup prepared for Build demonstrations. The app won't be available at Build, with a late summer preview expected.

Conference context

Build 2026 is taking place in a smaller, more intimate San Francisco venue as Microsoft attempts to rebuild developer trust following GitHub departures, outages, and security incidents. Satya Nadella will discuss the RTX Spark announcement with Nvidia CEO Jensen Huang during his keynote, with Qualcomm also expected to present on Windows on Arm improvements.

The keynote begins at 9:30 AM PT on June 2.

What this means

Microsoft's non-distilled reasoning model represents a different training approach from competitors like OpenAI's o1 series and DeepSeek-R1. Enterprise targeting suggests Microsoft sees reasoning models as differentiated enough to warrant dedicated business use cases rather than general consumer deployment. The emphasis on local Windows execution aligns with broader industry movement toward on-device AI, though actual performance and cost comparisons against cloud alternatives remain to be demonstrated.