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UI and Search Changes Make Restricted Content Discovery Work Better
In June, I nominated implementing Restricted Content Discovery (RCD) as one of the most important controls for a deployment of Microsoft 365 Copilot. AI-based tools are excellent at finding and using information that’s available to them, and restricting access to SharePoint Online sites that contain confidential information is an important guardrail for any implementation. RCD and DLP policies are critical in that respect.
Which brings us neatly to message center notification MC1427972 (14 July 2026), which covers enhancements Microsoft plans to make to how RCD operates. The changes are now being deployed.
Refining Restricted Content Discovery
The basic principle behind RCD is that it restricts Microsoft Search so that when Microsoft 365 Copilot queries Search to find files stored in SharePoint Online, files in sites protected by RCD are not included in the search results. If Copilot doesn’t know about the files, it cannot use their content to ground its prompts or include in its responses.
After two years or so of use, it’s inevitable that some ways would be found to improve how RCD works. Microsoft says that the updates “help reduce the risk of oversharing while ensuring AI-powered experiences respect organizational policies and support secure and compliant use of enterprise AI.” No administrative action is necessary as the changes are applied within the service. Existing RCD sites for sites continue as before.
Changes to Refine Restricted Content Discovery
The biggest change is that Microsoft is tightening RCD so that recently accessed files from protected sites no longer leak back into Microsoft Search or Microsoft 365 Copilot through MRU-style discovery mechanisms. The previous documentation explained the issue by noting that content from RCD-enabled sites “doesn’t appear in organization-wide search and Microsoft 365 Copilot experiences unless a user recently interacted with the content.”
Recently interacted means viewing, editing, or sharing – actions that cause files to be inserted into the lists of most recently used (MRU) files Office maintains for its apps. These files will no longer be discoverable though Microsoft Search and therefore available to Copilot when they come from RCD-enabled sites.
RCD-enabled sites don’t display the floating Copilot menu, but they do show the Copilot button. Microsoft is cleaning up the SharePoint UI to remove all trace of “AI-powered entry points.” In other words, all temptation to use Copilot is hidden.
Microsoft says that “Users will no longer see certain files on SharePoint sites with RCD enabled. This will change how users discover content and access Copilot capabilities on those sites.” The “certain files” are those that previously surfaced through MRU lists or because of recent interactions. Microsoft is also making changes to Microsoft Search to ensure that recently accessed files from RCD-enabled sites are handled consistently.
Importantly, these changes affect discoverability rather than permissions. Users who already have access to files stored in RCD-enabled sites can continue to access those files directly if they know where they are. In practice, I don’t think the effect will be dramatic. The change removes a corner case where recently accessed files could still be surfaced through Search or Copilot despite being stored in an RCD-protected site.
A Fit and Finish Update
Closing off gaps that might reveal files that shouldn’t be exposed to AI tools is an example of the fit and finish changes that occur as software matures. The sites that organizations apply RCD to usually contain their most sensitive and confidential material, and seeing Microsoft update the SharePoint UI to suppress inadvertent disclosures of files is welcome.
So much change, all the time. It’s a challenge to stay abreast of all the updates Microsoft makes across the Microsoft 365 ecosystem. Subscribe to the Microsoft 365 for IT Pros eBook to receive insights updated monthly into what happens within Microsoft 365, why it happens, and what new features and capabilities mean for your tenant.