Microsoft has released Windows 11 Build 26100.5061 (KB5064081) to the Release Preview Channel, packing a raft of AI-driven features, privacy upgrades, and platform changes that signal where Windows 11 24H2 is heading. The update introduces AI actions directly in File Explorer context menus, revamps Recall with a personalized home page, and begins the long-planned removal of Windows PowerShell 2.0 from the OS image. It’s a mix of consumer-facing enhancements and enterprise-grade housekeeping that will start rolling out to broader audiences in the coming weeks.
The build, announced on August 14, 2025, arrives through the Insider Release Preview ring—the final staging ground before updates go live for millions of Windows 11 24H2 devices. Microsoft is using its checkpoint cumulative update model to deliver these changes, a method that reduces download sizes but requires careful sequencing for offline deployments. Alongside the AI features, the update includes critical fixes for ReFS memory exhaustion, Task Manager CPU reporting, and Windows Hello reliability.
AI Comes to File Explorer and Beyond
The most visible change in Build 26100.5061 is the injection of generative AI into everyday file management. Right-clicking an image in File Explorer now reveals four new AI-powered actions: Blur Background, Erase Objects, Remove Background, and Visual Search. For documents, a Summarize action taps Copilot and Microsoft 365 services to boil down text into key points. These actions are available only if you have an active Microsoft 365 subscription and a Copilot license—a requirement that Microsoft explicitly notes in its blog post. The integration turns File Explorer into a lightweight editing and productivity hub, reducing the need to launch separate apps for quick edits or summaries.
Click to Do, Microsoft’s AI assistant for on-screen content, also gets a first-run tutorial that demonstrates ways to summarize text or remove objects from images. The tutorial appears on Copilot+ PCs and is designed to make the feature more discoverable. Meanwhile, Recall—the controversial timeline snapshot tool—now opens with a personalized homepage that highlights recent snapshots, top apps, and frequently visited websites. A new left-hand navigation bar offers quick access to Home, Timeline, Feedback, and Settings, where users can filter which apps and websites get snapped. These are incremental improvements, but they show Microsoft’s commitment to weaving AI into the core UX, not bolting it on as a separate app.
Privacy and Management Upgrades
Microsoft is adding more controls over AI features. A redesigned privacy prompt now dims the screen and presents a centered consent dialog when an app requests access to your location, camera, or microphone—making the request harder to ignore. A new “Text & Image Generation” page under Privacy & security lets you see which third‑party apps have used generative AI models on your device and toggle permissions on or off. These moves reflect growing scrutiny around AI data usage and give users a clear way to audit and limit access.
For enterprises, Windows Backup for Organizations is now generally available. The service aims to streamline device refreshes and migrations by preserving user settings, files, and app data, reducing downtime. IT admins can also take advantage of Quick Machine Recovery and other resiliency updates that target boot issues and recovery failures.
PowerShell 2.0 Removal: The End of an Era
Perhaps the most consequential platform change in this build is the removal of Windows PowerShell 2.0. Microsoft’s support documentation confirms that starting in August 2025 for Windows 11 version 24H2, and in a September 2025 release for Windows Server 2025, the legacy engine will no longer be included in the OS image. PowerShell 2.0 was deprecated in 2017 and has lingered as an optional feature for compatibility, but its removal is now imminent. Insider preview builds have already shipped without it since July 2025.
This is a breaking change for organizations with legacy scripts or installers that explicitly invoke PowerShell 2.0 (using powershell.exe -Version 2). Microsoft warns that such scripts will fail unless updated to use PowerShell 5.1 or 7.x. For most modern environments this is a non-event, but for those with long-lived automation, it demands an immediate audit. “For most users and organizations, this change will be uneventful,” the support article states, “but if you have legacy scripts or software that explicitly depends on PowerShell 2.0, you will need to take action.” The removal reduces the attack surface by eliminating an unsupported component, a net win for security, but it also forces a migration that some IT departments may have postponed.
Fixes and Reliability Improvements
Beyond the flashy AI features, Build 26100.5061 delivers a slew of quality fixes that land for all devices in the normal rollout bucket. Backups dealing with large files on ReFS volumes no longer risk memory exhaustion. Task Manager now reports CPU metrics using standard industry values, though a new optional “CPU Utility” column can bring back the old measurement for those who prefer it. Windows Hello handshakes are more reliable after standby, and a redesigned Hello UX now supports passkeys and connected device sign-in. Input fixes address Chinese IME behaviors and touch keyboard quirks, while an audio service hang and explorer crashes tied to dbgcore.dll have been patched. Users who ran into system recovery failures due to temporary file-sharing conflicts will also find those issues resolved.
What the Update Means for Everyday Users
For the average Windows 11 user, the AI additions in File Explorer, enhanced Recall, and the privacy prompt are the takeaway. They make the OS feel more cohesive and modern, but they come with caveats. The requirement for a Microsoft 365 subscription and Copilot license for some AI actions will frustrate those without the right entitlements. Phased rollouts mean your machine might not see every feature immediately; Microsoft is A/B testing many of these changes, so inconsistency across devices is expected. If you’re not seeing a promised feature, patience and Feedback Hub reporting is the prescribed remedy.
Privacy controls are a welcome addition, especially the Text & Image Generation page, which puts an audit trail for AI model access directly in Settings. And the new consent dialogs for hardware access are clearer than the old toast-style prompts. These moves align with broader industry trends toward more transparent permission models.
What IT Administrators Must Do Now
For IT pros, the PowerShell 2.0 removal is the urgent item. You need to inventory scheduled tasks, custom scripts, and installer packages that call powershell.exe -Version 2. Microsoft’s support page (KB article linked below) provides detailed mitigation steps: either migrate to PowerShell 5.1 or 7, or refactor the code to avoid the version switch. The cutover is coming in a production release soon, so testing with the Release Preview build on a pilot ring is critical.
Update sequencing is another headache. The checkpoint cumulative model means that when you download KB5064081 from the Microsoft Update Catalog, you may need to first apply a checkpoint MSU file. Microsoft documents the process for offline imaging; skipping the checkpoint leads to installation failures. Organizations that rely on DISM or wusa for manual updates need to verify they have the correct prerequisite packages. The company’s guidance on checkpoint updates (linked below) walks through the steps.
Windows Backup for Organizations, while useful, will require setup and policy configuration. Quick Machine Recovery and other resiliency features should reduce triage time during outages, but they demand testing on your hardware portfolio, especially if you use ReFS storage or specialized IMEs.
Privacy, Security, and Governance
Recall continues to be a lightning rod. Microsoft emphasizes that snapshots are stored locally and, in some regions, export is protected by a code. The new Settings filters let users exclude apps or websites, but organizations must still decide whether to enable continuous snapshot capture on corporate devices. The Text and Image Generation privacy page is a governance tool: admins can see which third-party apps accessed on-device AI models and potentially block them via policy. Meanwhile, the removal of PowerShell 2.0 reduces the attack surface—a clear security benefit—but only if legacy dependencies are modernized; unaddressed, it can cause operational outages.
The Bigger Picture
Build 26100.5061 is a preview, so not every feature listed in the blog will appear on every device. Microsoft’s own announcement delineates between “gradual rollout” and “normal rollout” items. The phased approach can leave power users feeling left out, but it’s standard practice for the Release Preview Channel. The update reinforces Microsoft’s strategy of embedding Copilot and AI directly into the OS shell, a trend that started with 24H2 and will only accelerate in future feature updates.
The dual nature of this release—consumer AI glitz and enterprise backbone surgery—makes it essential reading for both enthusiasts and IT managers. For the former, it’s a glimpse of a more assistive Windows; for the latter, it’s a call to action. PowerShell 2.0’s removal is a hard deadline, not a suggestion, and checkpoint update intricacies demand a refresh of deployment playbooks.
In all, Windows 11 24H2 is shaping up to be a turning point. The integration of AI into File Explorer, Settings, and Recall marks a shift from an application-centric OS to one where generative assistance is ambient and contextual. But that vision currently depends on subscriptions and is gated behind regional and hardware rollouts. As Microsoft pushes the build toward general availability, the challenge will be balancing this AI ambition with the reliability and compatibility that enterprise customers demand. For now, the prudent path is to test, audit your PowerShell scripts, and keep an eye on the Windows Release Health dashboard for post‑release gotchas.