This article will explore PeopleSoft AI features for 2026 and what users can expect in the coming year.
Every technology vendor is talking about AI. Oracle is no different. At BLUEPRINT 4D 2026, Oracle announced several AI-related features for PeopleSoft. Some are live now. Others are on the PeopleTools 8.63 roadmap. Before you decide whether any of this matters for your organisation, it is worth knowing what is actually here, what is coming, and what it changes. When considering PeopleSoft AI features, 2026 has significant updates for users to evaluate.
Oracle has extended PeopleSoft support through at least 2037 and continues to add features.
The Natural Language Assistant is replacing PICASO
If your organisation uses PICASO, Oracle’s original PeopleSoft chatbot, take note. In September 2025, Oracle’s Director of PeopleTools Strategy confirmed it on the Oracle PeopleSoft Blog. It’s important to recognize how this will affect existing tools.
“Oracle is no longer investing in the PICASO solution. This means that there will be no further updates or enhancements to our delivered PICASO skills.”
The replacement works differently. The new Natural Language Assistant uses large language models (LLMs) via the Oracle Cloud Infrastructure (OCI) AI Agent Platform, rather than hardcoded dialog flows. It connects to PeopleSoft through a chat interface, a PeopleSoft MCP Server, and a Natural Language Search Service. Users can ask questions in plain language, pull data from PeopleSoft, and trigger actions, without needing to know where anything lives in the system, creating better flexibility and user experience.
One important detail: PeopleTools 8.63 is designed to work with the LLM of your choice, not only Oracle’s, which broadens the scope.
Application Designer is getting an AI coding assistant
PeopleTools 8.63 includes a planned feature called Code Assist: an LLM-enabled chat window sitting directly inside Application Designer. Developers can ask it to explain existing PeopleCode, suggest improvements, help debug issues, or write new code. Initial writeback is limited to PeopleCode, with more object types expected to follow. These reflect innovative PeopleSoft 2026 AI features that developers can use.
PeopleCode is not a common skill. Development work that currently needs experienced PeopleSoft developers to write and verify carefully will get faster. That changes how you think about resourcing PeopleSoft development. It’s crucial for teams looking to optimize resources.
Search is getting smarter, and some teams are already behind
Semantic search and typo tolerance are on the PeopleTools 8.63 roadmap. When they arrive, users will be able to find what they need in PeopleSoft without knowing the system’s exact terminology. Looking ahead, such PeopleSoft AI features in 2026 will improve how users interact with the platform.
That said, Smart Prompts and Smart Drop Downs are already available in PeopleTools 8.62, improving productivity across thousands of input fields. If your organisation is not yet on 8.62, your users are missing capabilities that other PeopleSoft organisations already have. Don’t let your team miss out when PeopleSoft AI features 2026 become available.
Embedded Insights puts data where decisions actually happen
Oracle has been adding embedded analytical Insights into PeopleSoft transactions and WorkCenters. Instead of leaving a screen to pull a separate report, the relevant data surfaces where the decision is being made. An HR administrator approving a remote work request sees headcount data on the same page. A payroll manager reviewing exceptions does not need to switch windows. Embedded Insights are a prime example of PeopleSoft AI features for 2026, bringing intelligence to the point of action.
Delivered Insights already include Administrator Approval Insights, HR Headcount Insights, and Remote Worker Approval Insights. More are on the roadmap, covering HR Movement, US Federal Personnel Actions, and Canadian Year-End. In 2026, more PeopleSoft AI features focused on insights will further help decision makers.
Customisation Insights shows where your technical debt is costing you the most
PeopleTools 8.62 delivered Customisation Insights: a tool that shows which customisations are actively used and which objects are touched most often by PeopleSoft updates. PeopleTools 8.63 will add Customisation Groups, so organisations can assign ownership to individual customisations and track which ones cost the most to maintain. Technical debt is in focus for PeopleSoft AI features in 2026 as organizations seek more data-driven decision-making tools.
If your system has years of customisation history, this tool reframes the conversation. Instead of a vague sense that updates are harder than they should be, you get data on exactly which customisations are causing the friction. These insights are core to the enhanced PeopleSoft AI features coming in 2026.
The question worth asking right now
Some of what Oracle has announced is already in your system. Smart Prompts, Embedded Insights, and Customisation Insights are delivered features, not roadmap items. The Natural Language Assistant, Code Assist, and semantic search are confirmed for PeopleTools 8.63. But have you assessed what the upcoming PeopleSoft AI features in 2026 mean for your processes?
The question worth asking is not whether PeopleSoft is keeping pace with AI. It is whether your current setup lets you use what has already been delivered, and whether you have a plan for what is coming. Planning for PeopleSoft AI features in 2026 should be part of your IT roadmap.
That is a support and development conversation. Not a procurement one. Now is the time to consider how PeopleSoft AI features 2026 impact your organization’s future.
