
I’ve seen this happen a few times. That message usually means Copilot Studio is still provisioning the backend for the agent, but if it’s stuck for hours, something’s off.
A few things I’d check first:
Environment: Make sure you’re creating the agent in an environment that has Dataverse enabled. Provisioning often hangs if Dataverse isn’t available or the environment is in a bad state. If possible, try a fresh dev environment with Dataverse.
Permissions / licensing: Confirm you have Environment Maker (or higher) and an active Copilot Studio license or trial. Tenant policies or DLP rules can also block AI features during setup.
Browser/session issues: This one’s surprisingly common. Try creating the agent in an InPrivate/Incognito window or a different browser, and disable extensions.
Service health: If it’s stuck for everyone in your region, there may be a backend issue. Have an admin check M365 Service Health for Power Platform / Copilot Studio advisories.
Provisioning normally finishes in minutes, so 4+ hours isn’t expected. If it keeps happening, the quickest workaround I’ve found is to try again in a different environment. If that still fails, grab the environment name, region, and timestamp and raise it with Microsoft support.
Hope that helps once the agent finishes provisioning, the rest of the lab steps usually work fine.