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felipeneiva's avatar
felipeneiva
MCT
Jan 09, 2026

Error when creating Assistant in Microsoft Foundry using Fabric Data Agent

I am facing an issue when using a Microsoft Fabric Data Agent integrated with the new Microsoft Foundry, and I would like your assistance to investigate it.
 
Scenario:
1. I created a Data Agent in Microsoft Fabric.
2. I connected this Data Agent as a Tool within a project in the new Microsoft Foundry.
3. I published the agent to Microsoft Teams and Copilot for Microsoft 365.
4. I configured the required Azure permissions, assigning the appropriate roles to the Foundry project Managed Identity (as shown in the attached evidence – Azure AI Developer and Azure AI User roles).
 
Issue:
When trying to use the published agent, I receive the following error:
 
Response failed with code tool_user_error: Create assistant failed.
If issue persists, please use following identifiers in any support request:
ConversationId = PQbM0hGUvMF0X5EDA62v3-br
activityId = PQbM0hGUvMF0X5EDA62v3-br|0000000
 
Additional notes:
• Permissions appear to be correctly configured in Azure.
• The error occurs during the assistant creation/execution phase via Foundry after publishing.
• The same behavior occurs both in Teams and in Copilot for Microsoft 365.
 
Could you please verify:
• Whether there are any additional permissions required when using Fabric Data Agents as Tools in Foundry;
• If there are any known limitations or specific requirements for publishing to Teams/Copilot M365;
• And analyze the error identifiers provided above.
 
I appreciate your support and look forward to your guidance on how to resolve this issue.
azure
azure ai foundry
Data Agent

1 Reply

  • Surya_Narayana's avatar
    Surya_Narayana
    MCT
    Jan 11, 2026

    hi felipeneiva​ Thanks for sharing the detailed scenario, this is helpful.

    A few thoughts based on similar setups we’ve seen with Fabric Data Agents + Foundry:

    The Azure AI Developer / Azure AI User roles are necessary, but in this integration the Fabric side permissions are often the missing piece. The Foundry project managed identity may also need explicit access at the Fabric workspace level (e.g., Member/Contributor, and permission to execute the Data Agent and underlying datasets/lakehouse).

    When publishing to Teams or Copilot for M365, there are currently some preview limitations around tool-backed agents (especially Fabric Data Agents). Even if publishing succeeds, assistant creation can fail at runtime due to unsupported execution paths or identity handoff issues between Foundry-Fabric-M365.

    The fact that the same error reproduces in both Teams and Copilot suggests this is happening before channel-specific execution, likely during assistant instantiation or tool binding in Foundry.

    A couple of things worth double-checking:

    • The Foundry project managed identity has direct access to the Fabric workspace hosting the Data Agent (not just Azure RBAC).
    • The Data Agent works when invoked directly inside Fabric (to rule out agent-side issues).
    • The Foundry project region and Fabric capacity region are aligned (this has caused similar “Create assistant failed” errors in some cases).

    The ConversationId / activityId you shared should be useful for Microsoft support, this looks like something that may need backend investigation, especially if you’re on the new Foundry experience.

    If this is still failing after validating Fabric workspace permissions, I’d recommend opening a support ticket under Azure AI Foundry / Fabric integration, as this may be a known limitation or bug in the current rollout.

    Curious to hear if others have successfully run Fabric Data Agents as tools in Foundry and published them to Teams/Copilot, would be great to compare notes.

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