Microsoft 2026 Release Wave 1: The nonprofit guide

Dynamics 365 Release Wave 1 2026:

• Release window: [Month 2026 – Month 2026] 

• Automatic rollout (no opt-out) 

• Major focus areas: AI, automation, integration, compliance (update once confirmed) 

• Action required: Testing, workflow review, licensing check 

 

Key point: If your nonprofit relies on Dynamics 365 daily, prepare early to avoid disruption. 

 

In this article:

1. Key dates
2. How to prepare for the update
3. New features for nonprofits
4. How XP can support

What Is Dynamics 365 Release Wave 1 2026? 

Microsoft releases two major updates each year to Microsoft Dynamics 365 and related Microsoft applications. 

Release Wave 1 2026 introduces new features across: 

• Sales (fundraising) 
• Customer Service (supporter services) 
• Marketing & Data 
• Finance 
• Service delivery 

These updates roll out automatically across environments — including production. 

When Is Release Wave 1 2026 Rolling Out? 

Global release window: April 2026 – September 2026 (update when confirmed) 

Expected regional rollout (example structure) 

• Australia & New Zealand: [Date] 

• Canada: [Date] 

• UK: [Date] 

• US: [Date] 

If your nonprofit operates in multiple regions, test each environment separately.

Why Nonprofits Must Prepare Early 

Unlike optional feature previews, Release Waves are mandatory updates. 

Without preparation, nonprofits may experience: 

• Broken workflows 
• Integration failures 
• Licensing surprises 
• Staff confusion around new AI tools 
• Reporting inconsistencies 

Early preparation ensures: 

• Continuity of fundraising campaigns 
• Stable supporter communications 
• Clean financial reporting 
• Confident staff adoption 

How to prepare for the update

✔ Start testing Wave 2 updates in April 2026. 
✔ Check workflows, automations, and integrations. 
✔ Review licensing requirements and budget accordingly. 
✔ Seek expert support to reduce disruption. (link to XP support section)

Key Changes in Release Wave 1 2026 (For Nonprofits) 

(Update this section once features are published. Keep the structure consistent for AI and SEO clarity.) 

 

Fundraising (Dynamics 365 Sales) 

Relevant for donor management, grants, partnerships and major gifts teams. 

What’s new 

• [Feature] 

• [Feature] 

• [Feature] 

What it means for nonprofits 
Explain operational impact in plain language: 

• Saves admin time 

• Improves donor intelligence 

• Strengthens forecasting 

• Supports revenue growth 

 

Supporter Services (Dynamics 365 Customer Service) 

For donation enquiries, event support, membership questions, helplines. 

What’s new 

• [Feature] 

• [Feature] 

• [Feature] 

Impact on nonprofits 

• Faster response times 

• Better routing 

• AI-assisted drafting 

• Improved case visibility 

 

Marketing & Supporter Data 

Includes tools like: 

• Dynamics 365 Customer Insights 

• Microsoft Fabric 

What’s new 

• [Feature] 

• [Feature] 

Impact 

• Stronger segmentation 

• Unified supporter profiles 

• Smarter campaign orchestration 

• Real-time insights 

 

Service Delivery (Field-Based Nonprofits) 

Includes: 

• Dynamics 365 Field Service 

What’s new 

• [Feature] 

• [Feature] 

Impact 

• Smarter scheduling 

• Improved mobile tools 

• Better coordination for community services 

 

Finance & Operations 

Includes: 

• Dynamics 365 Business Central 

What’s new 

• [Feature] 

• [Feature] 

Impact 

• Stronger compliance 

• AI-assisted reporting 

• Improved budgeting visibility 

Common Questions About Release Wave 1 2026 

Is Dynamics 365 Release Wave 1 mandatory? 

Yes. Microsoft deploys release waves automatically across tenants. 

Can nonprofits delay the update? 

No, but you can test early and prepare environments. 

Will this affect integrations? 

Potentially. Any integration, automation or customisation should be reviewed. 

Does this include Copilot updates? 

Likely — AI continues to expand across Dynamics 365 modules.

How XP can support your nonprofit

At Xtreme Productivity, we help nonprofits manage Microsoft updates without the stress. Our process:

1. Back up your data to ensure nothing is lost.
2. Implement Wave 2 updates and check for compatibility.
3. Test updates thoroughly so nothing breaks when Wave 2 arrives.
4. Deploy changes live with minimal disruption to your staff and supporters.

 

For more information on the 2025 Wave 2 Release plan, read Microsoft’s blog here.  

Here are some other resources for additional information:  

• Microsoft Dynamics 365 Release Schedule 
• BeyondDynamics Wave 2 Overview