Microsoft Expands Dynamics 365 ERP Model Context Protocol to Connect AI and Enterprise Resource Planning -- Redmond Channel Partner

RCP Channel BriefingShort Takes from Microsoft’s Channel Community

Microsoft Expands Dynamics 365 ERP Model Context Protocol to Connect AI and Enterprise Resource Planning

Microsoft has expanded its Dynamics 365 ERP Model Context Protocol (MCP) framework, introducing a dynamic MCP Server, now in public preview, which allows real-time use by agents, developers and applications. A new Dynamics server for analytics, specifically, makes hundreds of thousands of ERP functions callable for automation, workflow orchestration and intelligent analytics. This companion MCP Server for Analytics—launching in December—extends this standardized model-context approach to business intelligence use cases.

The development reflects Microsoft’s strategy to make ERP systems AI-native. The move further means that new ERP agents will all be built using MCP, with existing agents migrating to MCP by December 2025. Additionally, all static tools will transition to the dynamic ERP MCP server. Microsoft’s MCP standard focuses on dynamic extensibility and unified governance across its business applications.

The "RCP Channel Briefing" blog is researched, fact-checked, edited and updated by the editors of RCPmag.com, with writing assistance from AI. To submit your channel company's press release for consideration, contact Ammaarah Mohamed.

Posted by Redmond Channel Partner magazine staff on November 13, 2025

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