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Using Nylon with a Microsoft 365 Copilot licence

What changes when your users have the paid Microsoft 365 Copilot add-on: org-wide publishing of the Nylon agent and the admin-managed connector route.

Overview

This article is for firms whose users have the paid Microsoft 365 Copilot add-on licence (or Microsoft 365 E7). It explains what is different for you, and how to make Nylon available across your organisation. For the step-by-step setup, use Using Nylon in Microsoft 365 Copilot (Copilot Chat); every step in it works with a full licence, and you get a few extras described below.

As with every Nylon connector, users need the Adviser or Elite plan. The agent searches everything your Nylon plan covers, so it suits tax research and legal research alike.

What a Microsoft 365 Copilot licence changes

  • No metering for agent use. Microsoft states that for Microsoft 365 Copilot licensed users, generative answers from agents in Copilot Chat and Teams "doesn't count against the Copilot Studio message pack or meter" (Copilot Studio billing and licensing). Copilot Chat (Basic) users are metered through your tenant's Copilot Studio capacity or pay-as-you-go instead.

  • You can build the agent without a separate Copilot Studio licence. A Microsoft 365 Copilot licence is one of the ways Microsoft lists to use Copilot Studio as a maker.

  • Make agent available in Microsoft 365 Copilot is selectable when you add the channel, so the agent is listed for Microsoft 365 Copilot as well as Teams (Connect and configure an agent for Teams and Microsoft 365 Copilot).

  • You can publish to the whole organisation. Under Availability options, choose Show to everyone in my org and Submit for admin approval. Once your Microsoft 365 admin approves it, the agent appears under Built by your org in the Agent Store for everyone, without sharing it person by person.

  • Admin-managed connectors are available to you. Microsoft's federated connectors let an admin connect an MCP server once, tenant-wide, so Nylon appears as a source in Copilot Chat rather than as a separate agent. Microsoft restricts this to tenants and users with the Microsoft 365 Copilot add-on or E7 (Microsoft Search and Copilot connectors licensing). See the section below.

Recommended: the Nylon agent

Follow Parts 1 to 4 of Using Nylon in Microsoft 365 Copilot (Copilot Chat). The only differences are in Part 3:

  1. On the Microsoft 365 and Microsoft Teams channel panel, keep Make agent available in Microsoft 365 Copilot ticked before you select Add channel.

  2. To share with a few people, use Show to my teammates and shared users as in the main article. To roll out to everyone, choose Show to everyone in my org, review the requirements, select Submit for admin approval and confirm with Yes. Your Microsoft 365 admin approves it in the admin centre; you can check progress with Refresh on the channel panel. Microsoft advises not to reduce the access setting after submitting, or users who installed it from the store lose access.

  3. Once approved, users find the agent in Copilot under Agents in the Built by your org section, or by typing @ and the agent name in any chat.

Each user still connects their own Nylon account the first time (Part 4 of the main article), so Nylon only returns what that person is entitled to read.

For Microsoft 365 admins: Nylon as a tenant-wide connector

Microsoft 365 Copilot supports federated connectors, which connect Copilot to an external system over MCP in real time without indexing any data into Microsoft 365. Users then see Nylon under Sources in Copilot Chat and in the Researcher agent, connect it with their own Nylon login, and Copilot can draw on it without choosing an agent. Microsoft documents the model at Federated connectors overview and the setup at Set up custom federated connectors.

In outline, Microsoft's steps are:

  1. In the Teams Developer Portal, select Tools, then OAuth Client Registration, then New OAuth connection, enter the OAuth details for Nylon and save. Copy the OAuth client registration ID. Nylon's sign-in uses the redirect address Microsoft specifies, https://teams.microsoft.com/api/platform/v1.0/oAuthRedirect.

  2. In the Microsoft 365 admin center, select Copilot, then Connectors, then the Gallery tab. Under Created by your org, select Add on Create a new connector, then under Connect to MCP server select Add.

  3. Enter a Display name (Nylon) and the Base URL https://mcp.usenylon.com, paste the OAuth registration ID, and Save.

  4. Use Staged rollout to release it to a test group first, then Deploy to all users. Microsoft notes changes can take up to 15 minutes to appear.

Before you start this route, contact Nylon support. The Teams Developer Portal registration asks for OAuth client details that Nylon issues per organisation, and we complete the registration with you. Requires Global Administrator or AI Administrator in Microsoft 365, and a Microsoft 365 Copilot licence for every user who will query Nylon this way.

Checking citations

Answers cite Nylon documents with links to docs.usenylon.com. Click through and read the passage before you rely on it. Nylon grounds the answer; you remain responsible for checking the output, as with any AI tool.

Frequently asked questions

Q: Agent or connector, which should we use?

A: Start with the agent. It takes one person about fifteen minutes, needs no admin change on the Microsoft side, and is the route Nylon has tested end to end. The tenant-wide connector is for firms that want Nylon available in every Copilot chat without picking an agent, and it needs your Microsoft 365 admin and Nylon support to set up together.

Q: Does it work inside Word, Outlook or Excel?

A: The agent works in Copilot Chat (the Copilot app, m365.cloud.microsoft/chat and the Copilot pane that opens Copilot Chat in Microsoft 365 apps). Microsoft lists federated connectors as supported in Copilot Chat, Agents, Copilot in Word, Excel, PowerPoint and Outlook, and Researcher.

Q: Does Nylon charge for Copilot use?

A: No. Connector usage is included in Adviser and Elite and does not use Pro credits. Microsoft licensing is between you and Microsoft.

Q: Is my data or my clients' data used to train AI?

A: No. Nylon does not train on customer data and is ISO 27001 certified. Federated connectors do not copy Nylon content into Microsoft 365; Microsoft's terms govern what Copilot does with your prompts and the text it receives.

Troubleshooting

The "Make agent available in Microsoft 365 Copilot" box is greyed out

Your account does not have the Microsoft 365 Copilot add-on. The agent still works in Copilot Chat; follow the Basic article's Part 3 and share it with teammates instead.

Admin approval is taking a long time

Approval is done by your Microsoft 365 admin in the Microsoft 365 admin centre under Integrated apps. Until then, share the agent with named users under Availability options so they can start.

Nylon doesn't appear under Sources in Copilot Chat

The connector route needs an admin to create and roll out the connector, and each user to hold a Microsoft 365 Copilot licence. Ask your admin whether the connector is in a staged rollout group that excludes you.

Still stuck?

Get in touch via the chat widget at the bottom right or email [email protected] and we'll help.

Last updated: October 2026

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