Getting Started with Foundry Local: A Student Guide to the Microsoft Foundry Local Lab
If you want to start building AI applications on your own machine, the Microsoft Foundry Local Lab is one of the most useful places to begin. It is a practical workshop that takes you from first-time setup through to agents, retrieval, evaluation, speech transcription, tool calling, and a browser-based interface. The material is hands-on, cross-language, and designed to show how modern AI apps can run locally rather than depending on a cloud service for every step. This blog post is aimed at students, self-taught developers, and anyone learning how AI applications are put together in practice. Instead of treating large language models as a black box, the lab shows you how to install and manage local models, connect to them with code, structure tasks into workflows, and test whether the results are actually good enough. If you have been looking for a learning path that feels more like building real software and less like copying isolated snippets, this workshop is a strong starting point. What Is Foundry Local? Foundry Local is a local runtime for downloading, managing, and serving AI models on your own hardware. It exposes an OpenAI-compatible interface, which means you can work with familiar SDK patterns while keeping execution on your device. For learners, that matters for three reasons. First, it lowers the barrier to experimentation because you can run projects without setting up a cloud account for every test. Second, it helps you understand the moving parts behind AI applications, including model lifecycle, local inference, and application architecture. Third, it encourages privacy-aware development because the examples are designed to keep data on the machine wherever possible. The Foundry Local Lab uses that local-first approach to teach the full journey from simple prompts to multi-agent systems. It includes examples in Python, JavaScript, and C#, so you can follow the language that fits your course, your existing skills, or the platform you want to build on. Why This Lab Works Well for Learners A lot of AI tutorials stop at the moment a model replies to a prompt. That is useful for a first demo, but it does not teach you how to build a proper application. The Foundry Local Lab goes further. It is organised as a sequence of parts, each one adding a new idea and giving you working code to explore. You do not just ask a model to respond. You learn how to manage the service, choose a language SDK, construct retrieval pipelines, build agents, evaluate outputs, and expose the result through a usable interface. That sequence is especially helpful for students because the parts build on each other. Early labs focus on confidence and setup. Middle labs focus on architecture and patterns. Later labs move into more advanced ideas that are common in real projects, such as tool calling, evaluation, and custom model packaging. By the end, you have seen not just what a local AI app looks like, but how its different layers fit together. Before You Start The workshop expects a reasonably modern machine and at least one programming language environment. The core prerequisites are straightforward: install Foundry Local, clone the repository, and choose whether you want to work in Python, JavaScript, or C#. You do not need to master all three. In fact, most learners will get more value by picking one language first, completing the full path in that language, and only then comparing how the same patterns look elsewhere. If you are new to AI development, do not be put off by the number of parts. The early sections are accessible, and the later ones become much easier once you have completed the foundations. Think of the lab as a structured course rather than a single tutorial. What You Learn in Each Lab https://github.com/microsoft-foundry/foundry-local-lab Part 1: Getting Started with Foundry Local The first part introduces the basics of Foundry Local and gets you up and running. You learn how to install the CLI, inspect the model catalogue, download a model, and run it locally. This part also introduces practical details such as model aliases and dynamic service ports, which are small but important pieces of real development work. For students, the value of this part is confidence. You prove that local inference works on your machine, you see how the service behaves, and you learn the operational basics before writing any application code. By the end of Part 1, you should understand what Foundry Local does, how to start it, and how local model serving fits into an application workflow. Part 2: Foundry Local SDK Deep Dive Once the CLI makes sense, the workshop moves into the SDK. This part explains why application developers often use the SDK instead of relying only on terminal commands. You learn how to manage the service programmatically, browse available models, control model download and loading, and understand model metadata such as aliases and hardware-aware selection. This is where learners start to move from using a tool to building with a platform. You begin to see the difference between running a model manually and integrating it into software. By the end of this section, you should understand the API surface you will use in your own projects and know how to bootstrap the SDK in Python, JavaScript, or C#. Part 3: SDKs and APIs Part 3 turns the SDK concepts into a working chat application. You connect code to the local inference server and use the OpenAI-compatible API for streaming chat completions. The lab includes examples in all three supported languages, which makes it especially useful if you are comparing ecosystems or learning how the same idea is expressed through different syntax and libraries. The key learning outcome here is not just that you can get a response from a model. It is that you understand the boundary between your application and the local model service. You learn how messages are structured, how streaming works, and how to write the sort of integration code that becomes the foundation for every later lab. Part 4: Retrieval-Augmented Generation This is where the workshop starts to feel like modern AI engineering rather than basic prompting. In the retrieval-augmented generation lab, you build a simple RAG pipeline that grounds answers in supplied data. You work with an in-memory knowledge base, apply retrieval logic, score matches, and compose prompts that include grounded context. For learners, this part is important because it demonstrates a core truth of AI app development: a model on its own is often not enough. Useful applications usually need access to documents, notes, or structured information. By the end of Part 4, you understand why retrieval matters, how to pass retrieved context into a prompt, and how a pipeline can make answers more relevant and reliable. Part 5: Building AI Agents Part 5 introduces the concept of an agent. Instead of a one-off prompt and response, you begin to define behaviour through system instructions, roles, and conversation state. The lab uses the ChatAgent pattern and the Microsoft Agent Framework to show how an agent can maintain a purpose, respond with a persona, and return structured output such as JSON. This part helps learners understand the difference between a raw model call and a reusable application component. You learn how to design instructions that shape behaviour, how multi-turn interaction differs from single prompts, and why structured output matters when an AI component has to work inside a broader system. Part 6: Multi-Agent Workflows Once a single agent makes sense, the workshop expands the idea into a multi-agent workflow. The example pipeline uses roles such as researcher, writer, and editor, with outputs passed from one stage to the next. You explore sequential orchestration, shared configuration, and feedback loops between specialised components. For students, this lab is a very clear introduction to decomposition. Instead of asking one model to do everything at once, you break a task into smaller responsibilities. That pattern is useful well beyond AI. By the end of Part 6, you should understand why teams build multi-agent systems, how hand-offs are structured, and what trade-offs appear when more components are added to a workflow. Part 7: Zava Creative Writer Capstone Application The Zava Creative Writer is the capstone project that brings the earlier ideas together into a more production-style application. It uses multiple specialised agents, structured JSON hand-offs, product catalogue search, streaming output, and evaluation-style feedback loops. Rather than showing an isolated feature, this part shows how separate patterns combine into a complete system. This is one of the most valuable parts of the workshop for learner developers because it narrows the gap between tutorial code and real application design. You can see how orchestration, agent roles, and practical interfaces fit together. By the end of Part 7, you should be able to recognise the architecture of a serious local AI app and understand how the earlier labs support it. Part 8: Evaluation-Led Development Many beginner AI projects stop once the output looks good once or twice. This lab teaches a much stronger habit: evaluation-led development. You work with golden datasets, rule-based checks, and LLM-as-judge scoring to compare prompt or agent variants systematically. The goal is to move from anecdotal testing to repeatable assessment. This matters enormously for students because evaluation is one of the clearest differences between a classroom demo and dependable software. By the end of Part 8, you should understand how to define success criteria, compare outputs at scale, and use evidence rather than intuition when improving an AI component. Part 9: Voice Transcription with Whisper Part 9 broadens the workshop beyond text generation by introducing speech-to-text with Whisper running locally. You use the Foundry Local SDK to download and load the model, then transcribe local audio files through the compatible API surface. The emphasis is on privacy-first processing, with audio kept on-device. This section is a useful reminder that local AI development is not limited to chatbots. Learners see how a different modality fits into the same ecosystem and how local execution supports sensitive workloads. By the end of this lab, you should understand the transcription flow, the relevant client methods, and how speech features can be integrated into broader applications. Part 10: Using Custom or Hugging Face Models After learning the standard path, the workshop shows how to work with custom or Hugging Face models. This includes compiling models into optimised ONNX format with ONNX Runtime GenAI, choosing hardware-specific options, applying quantisation strategies, creating configuration files, and adding compiled models to the Foundry Local cache. For learner developers, this part opens the door to model engineering rather than simple model consumption. You begin to understand that model choice, optimisation, and packaging affect performance and usability. By the end of Part 10, you should have a clearer picture of how models move from an external source into a runnable local setup and why deployment format matters. Part 11: Tool Calling with Local Models Tool calling is one of the most practical patterns in current AI development, and this lab covers it directly. You define tool schemas, allow the model to request function calls, handle the multi-turn interaction loop, execute the tools locally, and return results back to the model. The examples include practical scenarios such as weather and population tools. This lab teaches learners how to move beyond generation into action. A model is no longer limited to producing text. It can decide when external data or a function is needed and incorporate that result into a useful answer. By the end of Part 11, you should understand the tool-calling flow and how AI systems connect reasoning with deterministic software behaviour. Part 12: Building a Web UI for the Zava Creative Writer Part 12 adds a browser-based front end to the capstone application. You learn how to serve a shared interface from Python, JavaScript, or C#, stream updates to the browser, consume NDJSON with the Fetch API and ReadableStream, and show live agent status as content is produced in real time. This part is especially good for students who want to build portfolio projects. It turns backend orchestration into something visible and interactive. By the end of Part 12, you should understand how to connect a local AI backend to a web interface and how streaming changes the user experience compared with waiting for one final response. Part 13: Workshop Complete The final part is a summary and extension point. It reviews what you have built across the previous sections and suggests ways to continue. Although it is not a new technical lab in the same way as the earlier parts, it plays an important role in learning. It helps you consolidate the architecture, the terminology, and the development patterns you have encountered. For learners, reflection matters. By the end of Part 13, you should be able to describe the full stack of a local AI application, from model management to user interface, and identify which area you want to deepen next. What Students Gain from the Full Workshop Taken together, these labs do more than teach Foundry Local itself. They teach how AI applications are built. You learn operational basics such as model setup and service management. You learn application integration through SDKs and APIs. You learn system design through RAG, agents, multi-agent orchestration, and web interfaces. You learn engineering discipline through evaluation. You also see how text, speech, custom models, and tool calling all fit into one local-first development workflow. That breadth makes the workshop useful in several settings. A student can use it as a self-study path. A lecturer can use it as source material for practical sessions. A learner developer can use it to build portfolio pieces and to understand which AI patterns are worth learning next. Because the repository includes Python, JavaScript, and C#, it also works well for comparing how architectural ideas transfer across languages. How to Approach the Lab as a Beginner If you are starting from scratch, the best route is simple. Complete Parts 1 to 3 in your preferred language first. That gives you the essential setup and integration skills. Then move into Parts 4 to 6 to understand how AI application patterns are composed. After that, use Parts 7 and 8 to learn how larger systems and evaluation fit together. Finally, explore Parts 9 to 12 based on your interests, whether that is speech, tooling, model customisation, or front-end work. It is also worth keeping notes as you go. Record what each part adds to your understanding, what code files matter, and what assumptions each example makes. That habit will help you move from following the labs to adapting the patterns in your own projects. Final Thoughts The Microsoft Foundry Local Lab is a strong introduction to local AI development because it treats learners like developers rather than spectators. You install, run, connect, orchestrate, evaluate, and present working systems. That makes it far more valuable than a short demo that only proves a model can answer a question. If you are a student or learner developer who wants to understand how AI applications are really built, this lab gives you a clear path. Start with the basics, pick one language, and work through the parts in order. By the time you finish, you will not just have used Foundry Local. You will have a practical foundation for building local AI applications with far more confidence and much better judgement.Langchain Multi-Agent Systems with Microsoft Agent Framework and Hosted Agents
If you have been building AI agents with LangChain, you already know how powerful its tool and chain abstractions are. But when it comes to deploying those agents to production — with real infrastructure, managed identity, live web search, and container orchestration — you need something more. This post walks through how to combine LangChain with the Microsoft Agent Framework ( azure-ai-agents ) and deploy the result as a Microsoft Foundry Hosted Agent. We will build a multi-agent incident triage copilot that uses LangChain locally and seamlessly upgrades to cloud-hosted capabilities on Microsoft Foundry. Why combine LangChain with Microsoft Agent Framework? As a LangChain developer, you get excellent abstractions for building agents: the @tool decorator, RunnableLambda chains, and composable pipelines. But production deployment raises questions that LangChain alone does not answer: Where do your agents run? Containers, serverless, or managed infrastructure? How do you add live web search or code execution? Bing Grounding and Code Interpreter are not LangChain built-ins. How do you handle authentication? Managed identity, API keys, or tokens? How do you observe agents in production? Distributed tracing across multiple agents? The Microsoft Agent Framework fills these gaps. It provides AgentsClient for creating and managing agents on Microsoft Foundry, built-in tools like BingGroundingTool and CodeInterpreterTool , and a thread-based conversation model. Combined with Hosted Agents, you get a fully managed container runtime with health probes, auto-scaling, and the OpenAI Responses API protocol. The key insight: LangChain handles local logic and chain composition; the Microsoft Agent Framework handles cloud-hosted orchestration and tooling. Architecture overview The incident triage copilot uses a coordinator pattern with three specialist agents: User Query | v Coordinator Agent | +--> LangChain Triage Chain (routing decision) +--> LangChain Synthesis Chain (combine results) | +---+---+---+ | | | v v v Research Diagnostics Remediation Agent Agent Agent Each specialist agent has two execution modes: Mode LangChain Role Microsoft Agent Framework Role Local @tool functions provide heuristic analysis Not used Foundry Chains handle routing and synthesis AgentsClient with BingGroundingTool , CodeInterpreterTool This dual-mode design means you can develop and test locally with zero cloud dependencies, then deploy to Foundry for production capabilities. Step 1: Define your LangChain tools Start with what you know. Define typed, documented tools using LangChain’s @tool decorator: from langchain_core.tools import tool @tool def classify_incident_severity(query: str) -> str: """Classify the severity and priority of an incident based on keywords. Args: query: The incident description text. Returns: Severity classification with priority level. """ query_lower = query.lower() critical_keywords = [ "production down", "all users", "outage", "breach", ] high_keywords = [ "503", "500", "timeout", "latency", "slow", ] if any(kw in query_lower for kw in critical_keywords): return "severity=critical, priority=P1" if any(kw in query_lower for kw in high_keywords): return "severity=high, priority=P2" return "severity=low, priority=P4" These tools work identically in local mode and serve as fallbacks when Foundry is unavailable. Step 2: Build routing with LangChain chains Use RunnableLambda to create a routing chain that classifies the incident and selects which specialists to invoke: from langchain_core.runnables import RunnableLambda from enum import Enum class AgentRole(str, Enum): RESEARCH = "research" DIAGNOSTICS = "diagnostics" REMEDIATION = "remediation" DIAGNOSTICS_KEYWORDS = { "log", "error", "exception", "timeout", "500", "503", "crash", "oom", "root cause", } REMEDIATION_KEYWORDS = { "fix", "remediate", "runbook", "rollback", "hotfix", "patch", "resolve", "action plan", } def _route(inputs: dict) -> dict: query = inputs["query"].lower() specialists = [AgentRole.RESEARCH] # always included if any(kw in query for kw in DIAGNOSTICS_KEYWORDS): specialists.append(AgentRole.DIAGNOSTICS) if any(kw in query for kw in REMEDIATION_KEYWORDS): specialists.append(AgentRole.REMEDIATION) return {**inputs, "specialists": specialists} triage_routing_chain = RunnableLambda(_route) This is pure LangChain — no cloud dependency. The chain analyses the query and returns which specialists should handle it. Step 3: Create specialist agents with dual-mode execution Each specialist agent extends a base class. In local mode, it uses LangChain tools. In Foundry mode, it delegates to the Microsoft Agent Framework: from abc import ABC, abstractmethod from pathlib import Path class BaseSpecialistAgent(ABC): role: AgentRole prompt_file: str def __init__(self): prompt_path = Path(__file__).parent.parent / "prompts" / self.prompt_file self.system_prompt = prompt_path.read_text(encoding="utf-8") async def run(self, query, shared_context, correlation_id, client=None): if client is not None: return await self._run_on_foundry(query, shared_context, correlation_id, client) return await self._run_locally(query, shared_context, correlation_id) async def _run_on_foundry(self, query, shared_context, correlation_id, client): """Use Microsoft Agent Framework for cloud-hosted execution.""" from azure.ai.agents.models import BingGroundingTool agent = await client.agents.create_agent( model=shared_context.get("model_deployment", "gpt-4o"), name=f"{self.role.value}-{correlation_id}", instructions=self.system_prompt, tools=self._get_foundry_tools(shared_context), ) thread = await client.agents.threads.create() await client.agents.messages.create( thread_id=thread.id, role="user", content=self._build_prompt(query, shared_context), ) run = await client.agents.runs.create_and_process( thread_id=thread.id, agent_id=agent.id, ) # Extract and return the agent’s response... async def _run_locally(self, query, shared_context, correlation_id): """Use LangChain tools for local heuristic analysis.""" # Each subclass implements this with its specific tools ... The key pattern here: same interface, different backends. Your coordinator does not care whether a specialist ran locally or on Foundry. Step 4: Wire it up with FastAPI Expose the multi-agent pipeline through a FastAPI endpoint. The /triage endpoint accepts incident descriptions and returns structured reports: from fastapi import FastAPI from agents.coordinator import Coordinator from models import TriageRequest app = FastAPI(title="Incident Triage Copilot") coordinator = Coordinator() @app.post("/triage") async def triage(request: TriageRequest): return await coordinator.triage( request=request, client=app.state.foundry_client, max_turns=10, ) The application also implements the /responses endpoint, which follows the OpenAI Responses API protocol. This is what Microsoft Foundry Hosted Agents expects when routing traffic to your container. Step 5: Deploy as a Hosted Agent This is where Microsoft Foundry Hosted Agents shines. Your multi-agent system becomes a managed, auto-scaling service with a single command: # Install the azd AI agent extension azd extension install azure.ai.agents # Provision infrastructure and deploy azd up The Azure Developer CLI ( azd ) provisions everything: Azure Container Registry for your Docker image Container App with health probes and auto-scaling User-Assigned Managed Identity for secure authentication Microsoft Foundry Hub and Project with model deployments Application Insights for distributed tracing Your agent.yaml defines what tools the hosted agent has access to: name: incident-triage-copilot-langchain kind: hosted model: deployment: gpt-4o identity: type: managed tools: - type: bing_grounding enabled: true - type: code_interpreter enabled: true What you gain over pure LangChain Capability LangChain Only LangChain + Microsoft Agent Framework Local development Yes Yes (identical experience) Live web search Requires custom integration Built-in BingGroundingTool Code execution Requires sandboxing Built-in CodeInterpreterTool Managed hosting DIY containers Foundry Hosted Agents Authentication DIY Managed Identity (zero secrets) Observability DIY OpenTelemetry + Application Insights One-command deploy No azd up Testing locally The dual-mode architecture means you can test the full pipeline without any cloud resources: # Create virtual environment and install dependencies python -m venv .venv source .venv/bin/activate pip install -r requirements.txt # Run locally (agents use LangChain tools) python -m src Then open http://localhost:8080 in your browser to use the built-in web UI, or call the API directly: curl -X POST http://localhost:8080/triage \ -H "Content-Type: application/json" \ -d '{"message": "Getting 503 errors on /api/orders since 2pm"}' The response includes a coordinator summary, specialist results with confidence scores, and the tools each agent used. Running the tests The project includes a comprehensive test suite covering routing logic, tool behaviour, agent execution, and HTTP endpoints: curl -X POST http://localhost:8080/triage \ -H "Content-Type: application/json" \ -d '{"message": "Getting 503 errors on /api/orders since 2pm"}' Tests run entirely in local mode, so no cloud credentials are needed. Key takeaways for LangChain developers Keep your LangChain abstractions. The @tool decorator, RunnableLambda chains, and composable pipelines all work exactly as you expect. Add cloud capabilities incrementally. Start local, then enable Bing Grounding, Code Interpreter, and managed hosting when you are ready. Use the dual-mode pattern. Every agent should work locally with LangChain tools and on Foundry with the Microsoft Agent Framework. This makes development fast and deployment seamless. Let azd handle infrastructure. One command provisions everything: containers, identity, monitoring, and model deployments. Security comes free. Managed Identity means no API keys in your code. Non-root containers, RBAC, and disabled ACR admin are all configured by default. Get started Clone the sample repository and try it yourself: git clone https://github.com/leestott/hosted-agents-langchain-samples cd hosted-agents-langchain-samples python -m venv .venv && source .venv/bin/activate pip install -r requirements.txt python -m src Open http://localhost:8080 to interact with the copilot through the web UI. When you are ready for production, run azd up and your multi-agent system is live on Microsoft Foundry. Resources Microsoft Agent Framework for Python documentation Microsoft Foundry Hosted Agents Azure Developer CLI (azd) LangChain documentation Microsoft Foundry documentationIntegrating Microsoft Foundry with OpenClaw: Step by Step Model Configuration
Step 1: Deploying Models on Microsoft Foundry Let us kick things off in the Azure portal. To get our OpenClaw agent thinking like a genius, we need to deploy our models in Microsoft Foundry. For this guide, we are going to focus on deploying gpt-5.2-codex on Microsoft Foundry with OpenClaw. Navigate to your AI Hub, head over to the model catalog, choose the model you wish to use with OpenClaw and hit deploy. Once your deployment is successful, head to the endpoints section. Important: Grab your Endpoint URL and your API Keys right now and save them in a secure note. We will need these exact values to connect OpenClaw in a few minutes. Step 2: Installing and Initializing OpenClaw Next up, we need to get OpenClaw running on your machine. Open up your terminal and run the official installation script: curl -fsSL https://openclaw.ai/install.sh | bash The wizard will walk you through a few prompts. Here is exactly how to answer them to link up with our Azure setup: First Page (Model Selection): Choose "Skip for now". Second Page (Provider): Select azure-openai-responses. Model Selection: Select gpt-5.2-codex , For now only the models listed (hosted on Microsoft Foundry) in the picture below are available to be used with OpenClaw. Follow the rest of the standard prompts to finish the initial setup. Step 3: Editing the OpenClaw Configuration File Now for the fun part. We need to manually configure OpenClaw to talk to Microsoft Foundry. Open your configuration file located at ~/.openclaw/openclaw.json in your favorite text editor. Replace the contents of the models and agents sections with the following code block: { "models": { "providers": { "azure-openai-responses": { "baseUrl": "https://<YOUR_RESOURCE_NAME>.openai.azure.com/openai/v1", "apiKey": "<YOUR_AZURE_OPENAI_API_KEY>", "api": "openai-responses", "authHeader": false, "headers": { "api-key": "<YOUR_AZURE_OPENAI_API_KEY>" }, "models": [ { "id": "gpt-5.2-codex", "name": "GPT-5.2-Codex (Azure)", "reasoning": true, "input": ["text", "image"], "cost": { "input": 0, "output": 0, "cacheRead": 0, "cacheWrite": 0 }, "contextWindow": 400000, "maxTokens": 16384, "compat": { "supportsStore": false } }, { "id": "gpt-5.2", "name": "GPT-5.2 (Azure)", "reasoning": false, "input": ["text", "image"], "cost": { "input": 0, "output": 0, "cacheRead": 0, "cacheWrite": 0 }, "contextWindow": 272000, "maxTokens": 16384, "compat": { "supportsStore": false } } ] } } }, "agents": { "defaults": { "model": { "primary": "azure-openai-responses/gpt-5.2-codex" }, "models": { "azure-openai-responses/gpt-5.2-codex": {} }, "workspace": "/home/<USERNAME>/.openclaw/workspace", "compaction": { "mode": "safeguard" }, "maxConcurrent": 4, "subagents": { "maxConcurrent": 8 } } } } You will notice a few placeholders in that JSON. Here is exactly what you need to swap out: Placeholder Variable What It Is Where to Find It <YOUR_RESOURCE_NAME> The unique name of your Azure OpenAI resource. Found in your Azure Portal under the Azure OpenAI resource overview. <YOUR_AZURE_OPENAI_API_KEY> The secret key required to authenticate your requests. Found in Microsoft Foundry under your project endpoints or Azure Portal keys section. <USERNAME> Your local computer's user profile name. Open your terminal and type whoami to find this. Step 4: Restart the Gateway After saving the configuration file, you must restart the OpenClaw gateway for the new Foundry settings to take effect. Run this simple command: openclaw gateway restart Configuration Notes & Deep Dive If you are curious about why we configured the JSON that way, here is a quick breakdown of the technical details. Authentication Differences Azure OpenAI uses the api-key HTTP header for authentication. This is entirely different from the standard OpenAI Authorization: Bearer header. Our configuration file addresses this in two ways: Setting "authHeader": false completely disables the default Bearer header. Adding "headers": { "api-key": "<key>" } forces OpenClaw to send the API key via Azure's native header format. Important Note: Your API key must appear in both the apiKey field AND the headers.api-key field within the JSON for this to work correctly. The Base URL Azure OpenAI's v1-compatible endpoint follows this specific format: https://<your_resource_name>.openai.azure.com/openai/v1 The beautiful thing about this v1 endpoint is that it is largely compatible with the standard OpenAI API and does not require you to manually pass an api-version query parameter. Model Compatibility Settings "compat": { "supportsStore": false } disables the store parameter since Azure OpenAI does not currently support it. "reasoning": true enables the thinking mode for GPT-5.2-Codex. This supports low, medium, high, and xhigh levels. "reasoning": false is set for GPT-5.2 because it is a standard, non-reasoning model. Model Specifications & Cost Tracking If you want OpenClaw to accurately track your token usage costs, you can update the cost fields from 0 to the current Azure pricing. Here are the specs and costs for the models we just deployed: Model Specifications Model Context Window Max Output Tokens Image Input Reasoning gpt-5.2-codex 400,000 tokens 16,384 tokens Yes Yes gpt-5.2 272,000 tokens 16,384 tokens Yes No Current Cost (Adjust in JSON) Model Input (per 1M tokens) Output (per 1M tokens) Cached Input (per 1M tokens) gpt-5.2-codex $1.75 $14.00 $0.175 gpt-5.2 $2.00 $8.00 $0.50 Conclusion: And there you have it! You have successfully bridged the gap between the enterprise-grade infrastructure of Microsoft Foundry and the local autonomy of OpenClaw. By following these steps, you are not just running a chatbot; you are running a sophisticated agent capable of reasoning, coding, and executing tasks with the full power of GPT-5.2-codex behind it. The combination of Azure's reliability and OpenClaw's flexibility opens up a world of possibilities. Whether you are building an automated devops assistant, a research agent, or just exploring the bleeding edge of AI, you now have a robust foundation to build upon. Now it is time to let your agent loose on some real tasks. Go forth, experiment with different system prompts, and see what you can build. If you run into any interesting edge cases or come up with a unique configuration, let me know in the comments below. Happy coding!Level up your Python + AI skills with our complete series
We've just wrapped up our live series on Python + AI, a comprehensive nine-part journey diving deep into how to use generative AI models from Python. The series introduced multiple types of models, including LLMs, embedding models, and vision models. We dug into popular techniques like RAG, tool calling, and structured outputs. We assessed AI quality and safety using automated evaluations and red-teaming. Finally, we developed AI agents using popular Python agents frameworks and explored the new Model Context Protocol (MCP). To help you apply what you've learned, all of our code examples work with GitHub Models, a service that provides free models to every GitHub account holder for experimentation and education. Even if you missed the live series, you can still access all the material using the links below! If you're an instructor, feel free to use the slides and code examples in your own classes. If you're a Spanish speaker, check out the Spanish version of the series. Python + AI: Large Language Models 📺 Watch recording In this session, we explore Large Language Models (LLMs), the models that power ChatGPT and GitHub Copilot. We use Python to interact with LLMs using popular packages like the OpenAI SDK and LangChain. We experiment with prompt engineering and few-shot examples to improve outputs. We also demonstrate how to build a full-stack app powered by LLMs and explain the importance of concurrency and streaming for user-facing AI apps. Slides for this session Code repository with examples: python-openai-demos Python + AI: Vector embeddings 📺 Watch recording In our second session, we dive into a different type of model: the vector embedding model. A vector embedding is a way to encode text or images as an array of floating-point numbers. Vector embeddings enable similarity search across many types of content. In this session, we explore different vector embedding models, such as the OpenAI text-embedding-3 series, through both visualizations and Python code. We compare distance metrics, use quantization to reduce vector size, and experiment with multimodal embedding models. Slides for this session Code repository with examples: vector-embedding-demos Python + AI: Retrieval Augmented Generation 📺 Watch recording In our third session, we explore one of the most popular techniques used with LLMs: Retrieval Augmented Generation. RAG is an approach that provides context to the LLM, enabling it to deliver well-grounded answers for a particular domain. The RAG approach works with many types of data sources, including CSVs, webpages, documents, and databases. In this session, we walk through RAG flows in Python, starting with a simple flow and culminating in a full-stack RAG application based on Azure AI Search. Slides for this session Code repository with examples: python-openai-demos Python + AI: Vision models 📺 Watch recording Our fourth session is all about vision models! Vision models are LLMs that can accept both text and images, such as GPT-4o and GPT-4o mini. You can use these models for image captioning, data extraction, question answering, classification, and more! We use Python to send images to vision models, build a basic chat-with-images app, and create a multimodal search engine. Slides for this session Code repository with examples: openai-chat-vision-quickstart Python + AI: Structured outputs 📺 Watch recording In our fifth session, we discover how to get LLMs to output structured responses that adhere to a schema. In Python, all you need to do is define a Pydantic BaseModel to get validated output that perfectly meets your needs. We focus on the structured outputs mode available in OpenAI models, but you can use similar techniques with other model providers. Our examples demonstrate the many ways you can use structured responses, such as entity extraction, classification, and agentic workflows. Slides for this session Code repository with examples: python-openai-demos Python + AI: Quality and safety 📺 Watch recording This session covers a crucial topic: how to use AI safely and how to evaluate the quality of AI outputs. There are multiple mitigation layers when working with LLMs: the model itself, a safety system on top, the prompting and context, and the application user experience. We focus on Azure tools that make it easier to deploy safe AI systems into production. We demonstrate how to configure the Azure AI Content Safety system when working with Azure AI models and how to handle errors in Python code. Then we use the Azure AI Evaluation SDK to evaluate the safety and quality of output from your LLM. Slides for this session Code repository with examples: ai-quality-safety-demos Python + AI: Tool calling 📺 Watch recording In the final part of the series, we focus on the technologies needed to build AI agents, starting with the foundation: tool calling (also known as function calling). We define tool call specifications using both JSON schema and Python function definitions, then send these definitions to the LLM. We demonstrate how to properly handle tool call responses from LLMs, enable parallel tool calling, and iterate over multiple tool calls. Understanding tool calling is absolutely essential before diving into agents, so don't skip over this foundational session. Slides for this session Code repository with examples: python-openai-demos Python + AI: Agents 📺 Watch recording In the penultimate session, we build AI agents! We use Python AI agent frameworks such as the new agent-framework from Microsoft and the popular LangGraph framework. Our agents start simple and then increase in complexity, demonstrating different architectures such as multiple tools, supervisor patterns, graphs, and human-in-the-loop workflows. Slides for this session Code repository with examples: python-ai-agent-frameworks-demos Python + AI: Model Context Protocol 📺 Watch recording In the final session, we dive into the hottest technology of 2025: MCP (Model Context Protocol). This open protocol makes it easy to extend AI agents and chatbots with custom functionality, making them more powerful and flexible. We demonstrate how to use the Python FastMCP SDK to build an MCP server running locally and consume that server from chatbots like GitHub Copilot. Then we build our own MCP client to consume the server. Finally, we discover how easy it is to connect AI agent frameworks like LangGraph and Microsoft agent-framework to MCP servers. With great power comes great responsibility, so we briefly discuss the security risks that come with MCP, both as a user and as a developer. Slides for this session Code repository with examples: python-mcp-demoModel Mondays S2E12: Models & Observability
1. Weekly Highlights This week’s top news in the Azure AI ecosystem included: GPT Real Time (GA): Azure AI Foundry now offers GPT Real Time (GA)—lifelike voices, improved instruction following, audio fidelity, and function calling, with support for image context and lower pricing. Read the announcement and check out the model card for more details. Azure AI Translator API (Public Preview): Choose between fast Neural Machine Translation (NMT) or nuanced LLM-powered translations, with real-time flexibility for multilingual workflows. Read the announcement then check out the Azure AI Translator documentation for more details. Azure AI Foundry Agents Learning Plan: Build agents with autonomous goal pursuit, memory, collaboration, and deep fine-tuning (SFT, RFT, DPO) - on Azure AI Foundry. Read the announcement what Agentic AI involves - then follow this comprehensive learning plan with step-by-step guidance. CalcLM Agent Grid (Azure AI Foundry Labs): Project CalcLM: Agent Grid is a prototype and open-source experiment that illustrates how agents might live in a grid-like surface (like Excel). It's formula-first and lightweight - defining agentic workflows like calculations. Try the prototype and visit Foundry Labs to learn more. Agent Factory Blog: Observability in Agentic AI: Agentic AI tools and workflows are gaining rapid adoption in the enterprise. But delivering safe, reliable and performant agents requires foundation support for Observability. Read the 6-part Agent Factory series and check out the Top 5 agent observability best practices for reliable AI blog post for more details. 2. Spotlight On: Observability in Azure AI Foundry This week’s spotlight featured a deep dive and demo by Han Che (Senior PM, Core AI/ Microsoft ), showing observability end-to-end for agent workflows. Why Observability? Ensures AI quality, performance, and safety throughout the development lifecycle. Enables monitoring, root cause analysis, optimization, and governance for agents and models. Key Features & Demos: Development Lifecycle: Leaderboard: Pick the best model for your agent with real-time evaluation. Playground: Chat and prototype agents, view instant quality and safety metrics. Evaluators: Assess quality, risk, safety, intent resolution, tool accuracy, code vulnerability, and custom metrics. Governance: Integrate with partners like Cradle AI and SideDot for policy mapping and evidence archiving. Red Teaming Agent: Automatically test for vulnerabilities and unsafe behavior. CI/CD Integration: Automate evaluation in GitHub Actions and Azure DevOps pipelines. Azure DevOps GitHub Actions Monitoring Dashboard: Resource usage, application analytics, input/output tokens, request latency, cost breakdown, and evaluation scores. Azure Cost Management SDKs & Local Evaluation: Run evaluations locally or in the cloud with the Azure AI Evaluation SDK. Demo Highlights: Chat with a travel planning agent, view run metrics and tool usage. Drill into run details, debugging, and real-time safety/quality scores. Configure and run large-scale agent evaluations in CI/CD pipelines. Compare agents, review statistical analysis, and monitor in production dashboards 3. Customer Story: Saifr Saifr is a RegTech company that uses artificial intelligence to streamline compliance for marketing, communications, and creative teams in regulated industries. Incubated at Fidelity Labs (Fidelity Investments’ innovation arm), Saifr helps enterprises create, review, and approve content that meets regulatory standards—faster and with less manual effort. What Saifr Offers AI-Powered Compliance: Saifr’s platform leverages proprietary AI models trained on decades of regulatory expertise to automatically detect potential compliance risks in text, images, audio, and video. Automated Guardrails: The solution flags risky or non-compliant language, suggests compliant alternatives, and provides explanations—all in real time. Workflow Integration: Saifr seamlessly integrates with enterprise content creation and approval workflows, including cloud platforms and agentic AI systems like Azure AI Foundry. Multimodal Support: Goes beyond text to check images, videos, and audio for compliance risks, supporting modern marketing and communications teams. 4. Key Takeaways Observability is Essential: Azure AI Foundry offers complete monitoring, evaluation, tracing, and governance for agentic AI—making production safe, reliable, and compliant. Built-In Evaluation and Red Teaming: Use leaderboards, evaluators, and red teaming agents to assess and continuously improve model safety and quality. CI/CD and Dashboard Integration: Automate evaluations in GitHub Actions or Azure DevOps, then monitor and optimize agents in production with detailed dashboards. Compliance Made Easy: Safer’s agents and models help financial services and regulated industries proactively meet compliance standards for content and communications. Sharda's Tips: How I Wrote This Blog I focus on organizing highlights, summarizing customer stories, and linking to official Microsoft docs and real working resources. For this recap, I explored the Azure AI Foundry Observability docs, tested CI/CD pipeline integration, and watched the customer demo to share best practices for regulated industries. Here’s my Copilot prompt for this episode: "Generate a technical blog post for Model Mondays S2E12 based on the transcript and episode details. Focus on observability, agent dashboards, CI/CD, compliance, and customer stories. Add correct, working Microsoft links!" Coming Up Next Week Next week: Open Source Models! Join us for the final episode with Hugging Face VP of Product, live demos, and open model workflows. Register For The Livestream – Sep 15, 2025 About Model Mondays Model Mondays is your weekly Azure AI learning series: 5-Minute Highlights: Latest AI news and product updates 15-Minute Spotlight: Demos and deep dives with product teams 30-Minute AMA Fridays: Ask anything in Discord or the forum Start building: Watch Past Replays Register For AMA Recap Past AMAs Join The Community Don’t build alone! The Azure AI Developer Community is here for real-time chats, events, and support: Join the Discord Explore the Forum About Me I'm Sharda, a Gold Microsoft Learn Student Ambassador focused on cloud and AI. Find me on GitHub, Dev.to, Tech Community, and LinkedIn. In this blog series, I share takeaways from each week’s Model Mondays livestream.Model Mondays S2E10: Automating Document Processing with AI
1. Weekly Highlights We kicked off with the top news and updates in the Azure AI ecosystem: Agent Factory Blog Series: A new 6-part blog series on designing reliable, agentic AI—exploring multi-step, collaborative agents that reflect, plan, and adapt using tool integrations and design patterns. Text PII Preview in Azure AI Language: Now redacts PII (like date of birth, license plates) in major European languages, with better accuracy for UK bank entities. Claude Opus 4.1 in Copilot Pro & Enterprise: Public preview brings smarter summaries, tool assistant thinking, and "Ask Mode" in VS Code.Now leverages stronger computer vision algorithms for table parsing—achieving 94-97% accuracy across Latin, Chinese, Japanese, and Korean—with sub-10ms latency. Mistral Document AI in Azure Foundry: Instantly turn PDFs, contracts, and scanned docs into structured JSON with tables, headings, and LaTeX support. Serverless, multilingual, secure, and perfect for regulated industries. 2. Spotlight On: Document Intelligence with Azure & Mistral This week’s spotlight was a hands-on exploration of document processing, featuring both Microsoft and Mistral AI experts. Why Document Processing? Unstructured data—receipts, forms, handwritten notes—are everywhere. Modern document AI can extract, structure, and even annotate this data, fueling everything from search to RAG pipelines. Azure Document Intelligence: State-of-the-art OCR and table extraction with super-high accuracy and speed. Handles multi-language, complex layouts, and returns structured outputs ready for programmatic use. Mistral Document AI: Transforms PDFs and scanned docs into JSON, retaining complex formatting, tables, images, and even LaTeX. Supports custom schema extraction, image/document annotations, and returns everything in one API call. Integrates seamlessly with Azure AI Foundry and developer workflows. Demo Highlights: Extracting Receipts: OCR accurately pulls out store, date, and transaction details from photos. Handwriting Recognition: Even historical documents (like Thomas Jefferson’s letters) are parsed with surprising accuracy. Tables & Structured Data: Financial statements and reports converted into structured markdown and JSON—ready for downstream apps. Advanced Annotations: Define your own schema (via JSON Schema or Pydantic), extract custom fields, classify images, summarize documents, and even translate summaries—all in a single call. 3. Customer Story: Oracle Health Oracle Health shared how agentic AI and fine-tuned models are revolutionizing clinical workflows: Problem: Clinicians spend hours on documentation, searching records, and manual data entry—reducing time for patient care. Solution: Oracle’s clinical AI agents automate chart reviews, data extraction, and even conversational Q&A—while keeping humans in the loop for safety. Technical Highlights: Multi-agent architecture understands provider specialty and context. Orchestrator model "routes" requests to the right agent or plugin, extracting needed arguments from context. Fine-tuning was key: For low latency, Oracle used lightweight models (like GPT-4 Mini) and fine-tuned on their data—achieving sub-800ms responses, with accuracy matching larger models. Fine-tuning also allowed for nuanced tool selection, argument extraction, and rule-based orchestration—better than prompt engineering alone. Used LoRA for efficient, targeted fine-tuning without erasing base model knowledge. Live Demo: Agent summarizes patient history, retrieves lab results, filters for abnormals, and answers follow-up questions—all conversationally. Fine-tuned orchestrator chooses the right tool and context for each doctor’s workflow. Result: 1-2 hours saved per day, more time for patients, and happier doctors! 4. Key Takeaways Here are the key learnings from this episode: Document AI is Production-Ready: Azure Document Intelligence and Mistral Document AI offer fast, accurate, and customizable document parsing for real enterprise needs. Schema-Driven Extraction & Annotation: Define your own schemas and extract exactly what you want—no more one-size-fits-all. Fine-Tuning Unlocks Performance: For low latency and high accuracy, fine-tuning lightweight models beats prompt engineering in complex, rule-based agent workflows. Agentic Workflows in Action: Multi-agent systems can automate complex tasks, route requests, and keep humans in control, especially in regulated domains like healthcare. Community & Support: Join the Discord and Forum to ask questions, share use cases, and connect with the team. Sharda's Tips: How I Wrote This Blog Writing this recap is all about sharing what I learned and making it practical for the community! I start by organizing the key highlights, then walk through customer stories and demos, using simple language and real-world examples. Copilot helps me structure and clarify my notes, especially when summarizing technical sections. Here’s the prompt I used for Copilot this week: "Generate a technical blog post for Model Mondays S2E10 based on the transcript and episode details. Focus on document processing with Azure AI and Mistral, include customer demos, and highlight practical workflows and fine-tuning. Make it clear and approachable for developers and students." Every episode inspires me to try these tools myself, and I hope this blog makes it easy for you to start, too. If you have questions or want to share your own experience, I’d love to hear from you! Coming Up Next Week Next week: Text & Speech AI Playgrounds! Learn how to build and test language and speech models, with live demos and expert guests. | Register For The Livestream – Aug 25, 2025 | Register For The AMA – Aug 29, 2025 | Ask Questions & View Recaps – Discussion Forum About Model Mondays Model Mondays is a weekly series to build your Azure AI IQ with: 5-Minute Highlights: News & updates on Mondays 15-Minute Spotlight: Deep dives into new features, models, and protocols 30-Minute AMA Fridays: Live Q&A with product teams and experts Get started: Register For Livestreams Watch Past Replays Register For AMA Recap Past AMAs Join The Community Don’t build alone! Join the Azure AI Developer Community for real-time chats, events, support, and more: Join the Discord Explore the Forum About Me I'm Sharda, a Gold Microsoft Learn Student Ambassador focused on cloud and AI. Find me on GitHub, Dev.to, Tech Community, and LinkedIn. In this blog series, I share takeaways from each week’s Model Mondays livestream.
CampusSphere: Building the Future of Campus AI with Microsoft's Agentic Framework
Project Overview We are a team of Imperial College Students committed to improving campus life through innovative multi-agent solutions. CampusSphere leverages Microsoft Azure AI capabilities to automate core university campus services. We created an end-to-end solution that allows both students and staff to access a multi-agent framework for room/gym booking, attendance tracking, calendar management, IoT monitoring and more. 🔭 Our Initial Vision: Reimagining Campus Technology When our team at Imperial College London embarked on the CampusSphere project as part of Microsoft's Agentic Campus initiative, we had one clear ambition: to create an intelligent campus ecosystem that would fundamentally change how students, faculty, and staff interact with university services. The inspiration came from a simple observation—despite living in an age of advanced AI, campus technology remained frustratingly fragmented. Students juggled multiple portals for course registration, room booking, dining services, and academic support. Faculty members navigated separate systems for teaching, research, and administrative tasks. The result? Countless hours wasted on mundane navigation tasks that could be better spent on learning, teaching, and innovation. Our vision was ambitious: create a single, intelligent interface that could understand natural language, anticipate user needs, and seamlessly integrate with existing campus infrastructure. We didn't just want to build another campus app—we wanted to demonstrate how Microsoft's agentic AI technologies could create a truly intelligent campus companion. 🧠 Enter CampusSphere CampusSphere is an intelligent campus assistant made up of multiple AI agents, each with a specific domain of expertise — all communicating seamlessly through a centralized architecture. Think of it as a digital concierge for campus life, where your calendar, attendance, IoT data, and facility bookings are coordinated by specialized GPT-powered agents. Here’s what we built: TriageAgent – the brain of the system, using Retrieval-Augmented Generation (RAG) to understand user intent CalendarAgent – handles scheduling, bookings, and reminders AttendanceAgent – tracks check-ins automatically IoTAgent – monitors real-time sensor data from classrooms and labs GymAgent – manages access and reservations for sports facilities 30+ MCP Tools – perform SQL queries, scrape web data, and connect with external APIs All of this is built on Microsoft Azure AI, Semantic Kernel, and Model Context Protocol (MCP) — making it scalable, secure, and lightning fast. 🖥️ The Tech Stack Our Azure-powered architecture showcases a modular and scalable approach to real-time data processing and intelligent agent coordination. The frontend is built using React with a Vite development server, providing a fast and responsive user interface. When users submit a prompt, it travels to a Flask backend server acting as the Triage agent, which intelligently delegates tasks to a FastAPI agent service. This FastAPI service asynchronously communicates with individual agents and handles responses efficiently. Complex queries are routed to MCP Tools, which interact with the CosmosDB-powered Campus Database. Simultaneously, real-time synthetic IoT data is pushed into the database via Azure Function Apps and Azure IoT Hub. Authentication is securely managed: users log in through the frontend, receive a token from the database API server, and use it for authorized access to MCP services, with permissions enforced based on user roles using our custom MCP server implementation. This robust architecture enables seamless integration, real-time data flow, and secure multi-agent collaboration across Azure services. Our system leverages a multi-agent architecture designed to intelligently coordinate task execution across specialized services. At the core is the TriageAgent, which uses Retrieval-Augmented Generation (RAG) to interpret user prompts, enrich them with relevant context, and determine the optimal response path. Based on the nature of the request, it may handle the response directly, seek clarification, or delegate tasks to specific agents via FastAPI. Each specialized agent has a clearly defined role: AttendanceAgent: Interfaces with CosmosDB-backed FastAPI endpoints to check student attendance, using filters like event name, student ID, or date. IoTAgent: Monitors room conditions (e.g., temperature, CO₂ levels) and flags anomalies using real-time data from Azure IoT Hub, processed via FastAPI. CalendarAgent: Handles scheduling, availability checks, and event creation by querying or updating CosmosDB through FastAPI. Future integration with Microsoft Graph API is planned for direct calendar syncing. Gym Slot Agent: Checks available times for gym sessions using dedicated MCP tools. The triage agent serves as the orchestrator, breaking down complex requests (like "Book a gym session") into subtasks. It consults relevant agents (e.g., calendar and gym slot agents), merges results, and then confirms the final action with the user. This distributed and asynchronous workflow reduces backend load and enhances both responsiveness and reliability of the system. 🔮 What’s Next? Integrating CampusSphere with live systems via Microsoft OAuth is crucial for enhancing its capabilities. This integration will grant the agent authenticated access to a wider range of student data, moving beyond synthetic datasets. This expanded access to real-world information will enable deeply personalized advice, such as tailored course selection, scholarship recommendations, event suggestions, and deadline reminders, transforming CampusSphere into a sophisticated, proactive personal assistant. 🤝Meet the Team Behind CampusSphere Our success stemmed from a diverse team of innovators who brought together expertise from multiple domains: Benny Liu - https://www.linkedin.com/in/zong-benny-liu-393a4621b/ Lucas Ng - https://www.linkedin.com/in/lucas-ng-11b317203/ Lu Ju - https://www.linkedin.com/in/lu-ju/ Bruno Duaso - https://www.linkedin.com/in/bruno-duaso-jimeno-744464262/ Martim Coutinho - https://www.linkedin.com/in/martim-pereira-coutinho-116308233/ Krischad Pourpongpan - https://www.linkedin.com/in/krischadpua/ Yixu Pan - https://www.linkedin.com/in/yixu-pan/ Our collaborative approach enabled us to create a sophisticated agentic AI system that demonstrates the powerful potential of Microsoft's AI technologies in educational environments. 🧑💻 Project Repository: GitHub - Imperial-Microsoft-Agentic-Campus/CampusSphere Contribute to Imperial-Microsoft-Agentic-Campus/CampusSphere development by creating an account on GitHub. github.com Have questions about implementing similar solutions at your institution? Connect with our team members on LinkedIn—we're always excited to share knowledge and collaborate on innovative campus technology projects. 📚Get Started with Microsoft's AI Tools Ready to explore the technologies that made CampusSphere possible? Here are essential resources: Microsoft Semantic Kernel: The core framework for building AI agent orchestration systems. Learn how to create, coordinate, and manage multiple AI agents working together seamlessly. AI Agents for Beginners: A comprehensive guide to understanding and building AI agents from the ground up. Perfect for getting started with agentic AI development. Model Context Protocol (MCP): Learn about the protocol that enables secure connections between AI models and external tools and services—essential for building integrated AI systems. Windows AI Toolkit: Microsoft's toolkit for developing AI applications on Windows, providing local AI model development capabilities and deployment tools. Azure Container Apps: Understand how to deploy and scale containerized AI applications in the cloud, perfect for hosting multi-agent systems. Azure Cosmos DB Security: Essential security practices for managing data in AI applications, covering encryption, access control, and compliance.Multi-Agent Systems and MCP Tools Integration with Azure AI Foundry
The Power of Connected Agents: Building Multi-Agent Systems Imagine trying to build an AI system that can handle complex workflows like managing support tickets, analyzing data from multiple sources, or providing comprehensive recommendations. Sounds challenging, right? That's where multi-agent systems come in! The Develop a multi-agent solution with Azure AI Foundry Agent Services module introduces you to the concept of connected agents a game changing approach that allows you to break down complex tasks into specialized roles handled by different AI agents. Why Connected Agents Matter As a student developer, you might wonder why you'd need multiple agents when a single agent can handle many tasks. Here's why this approach is transformative: 1. Simplified Complexity: Instead of building one massive agent that does everything (and becomes difficult to maintain), you can create smaller, specialized agents with clearly defined responsibilities. 2. No Custom Orchestration Required: The main agent naturally delegates tasks using natural language - no need to write complex routing logic or orchestration code. 3. Better Reliability and Debugging: When something goes wrong, it's much easier to identify which specific agent is causing issues rather than debugging a monolithic system. 4. Flexibility and Extensibility: Need to add a new capability? Just create a new connected agent without modifying your main agent or other parts of the system. How Multi-Agent Systems Work The architecture is surprisingly straightforward: 1. A main agent acts as the orchestrator, interpreting user requests and delegating tasks 2. Connected sub-agents perform specialized functions like data retrieval, analysis, or summarization 3. Results flow back to the main agent, which compiles the final response For example, imagine building a ticket triage system. When a new support ticket arrives, your main agent might: - Delegate to a classifier agent to determine the ticket type - Send the ticket to a priority-setting agent to determine urgency - Use a team-assignment agent to route it to the right department All this happens seamlessly without you having to write custom routing logic! Setting Up a Multi-Agent Solution The module walks you through the entire process: 1. Initializing the agents client 2. Creating connected agents with specialized roles 3. Registering them as tools for the main agent 4. Building the main agent that orchestrates the workflow 5. Running the complete system Taking It Further: Integrating MCP Tools with Azure AI Agents Once you've mastered multi-agent systems, the next level is connecting your agents to external tools and services. The Integrate MCP Tools with Azure AI Agents module teaches you how to use the Model Context Protocol (MCP) to give your agents access to a dynamic catalog of tools. What is Dynamic Tool Discovery? Traditionally, adding new tools to an AI agent meant hardcoding each one directly into your agent's code. But what if tools change frequently, or if different teams manage different tools? This approach quickly becomes unmanageable. Dynamic tool discovery through MCP solves this problem by: 1. Centralizing Tool Management: Tools are defined and managed in a central MCP server 2. Enabling Runtime Discovery: Agents discover available tools during runtime through the MCP client 3. Supporting Automatic Updates: When tools are updated on the server, agents automatically get the latest versions The MCP Server-Client Architecture The architecture involves two key components: 1. MCP Server: Acts as a registry for tools, hosting tool definitions decorated with `@mcp.tool`. Tools are exposed over HTTP when requested. 2. MCP Client: Acts as a bridge between your MCP server and Azure AI Agent. It discovers available tools, generates Python function stubs to wrap them, and registers those functions with your agent. This separation of concerns makes your AI solution more maintainable and adaptable to change. Setting Up MCP Integration The module guides you through the complete process: 1. Setting up an MCP server with tool definitions 2. Creating an MCP client to connect to the server 3. Dynamically discovering available tools 4. Wrapping tools in async functions for agent use 5. Registering the tools with your Azure AI agent Once set up, your agent can use any tool in the MCP catalog as if it were a native function, without any hardcoding required! Practical Applications for Student Developers As a student developer, how might you apply these concepts in real projects? Classroom Projects: - Build a research assistant that delegates to specialized agents for different academic subjects - Create a coding tutor that uses different agents for explaining concepts, debugging code, and suggesting improvements Hackathons: - Develop a sustainability app that uses connected agents to analyze environmental data from different sources - Create a personal finance advisor with specialized agents for budgeting, investment analysis, and financial planning Personal Portfolio Projects: - Build a content creation assistant with specialized agents for brainstorming, drafting, editing, and SEO optimization - Develop a health and wellness app that uses MCP tools to connect to fitness APIs, nutrition databases, and sleep tracking services Getting Started Ready to dive in? Both modules include hands-on exercises where you'll build real working examples: - A ticket triage system using connected agents - An inventory management assistant that integrates with MCP tools The prerequisites are straightforward: - Experience with deploying generative AI models in Azure AI Foundry - Programming experience with Python or C# Conclusion Multi-agent systems and MCP tools integration represent the next evolution in AI application development. By mastering these concepts, you'll be able to build more sophisticated, maintainable, and extensible AI solutions - skills that will make you stand out in internship applications and job interviews. The best part? These modules are designed with practical, hands-on learning in mind - perfect for student developers who learn by doing. So why not give them a try? Your future AI applications (and your resume) will thank you for it! Want to learn more about Model Context Protocol 'MCP' see MCP for Beginners Happy coding!Build your code-first agent with Azure AI Foundry: Self-Guided Workshop
Build your first Agent App Agentic AI is changing how we build intelligent apps - enabling software to reason, plan, and act for us. Learning to build AI agents is quickly becoming a must-have skill for anyone working with AI. Self-Guided Workshop Try our self-guided “Build your code-first agent with Azure AI Foundry” workshop to get hands-on with Azure AI Agent Service. You’ll learn to build, deploy, and interact with agents using Azure’s powerful tools. What is Azure AI Agent Service? Azure AI Agent Service lets you create, orchestrate, and manage AI-powered agents that can handle complex tasks, integrate with tools, and deploy securely. What Will You Learn? The basics of agentic AI apps and how they differ from traditional apps How to set up your Azure environment How to build your first agent How to test and interact with your agent Advanced features like tool integration and memory management Who Is This For? Anyone interested in building intelligent, goal-oriented agents — developers, data scientists, students, and AI enthusiasts. No prior experience with Azure AI Agent Service required. How Does the Workshop Work? Tip: Select the self-guided tab in Getting Started for the right instructions. Step-by-step guides at your own pace Code samples and templates Real-world scenarios Get Started See what agentic AI can do for you with the self-guided “Build your code-first agent with Azure AI Foundry” workshop. Build practical skills in one of AI’s most exciting areas. Try the workshop and start building agents that make a difference! Additional Resources Azure AI Foundry Documentation Azure AI Agent Service Overview Questions or feedback Questions or feedback? Visit the issues page. Happy learning and building with Azure AI Agent Service!AI Sparks: Unleashing Agents with the AI Toolkit
The final episode of our "AI Sparks" series delved deep into the exciting world of AI Agents and their practical implementation. We also covered a fair part of MCP with Microsoft AI Toolkit extension for VS Code. We kicked off by charting the evolutionary path of intelligent conversational systems. Starting with the rudimentary rule-based Basic Chatbots, we then explored the advancements brought by Basic Generative AI Chatbots, which offered contextually aware interactions. Then we explored the Retrieval-Augmented Generation (RAG), highlighting its ability to ground generative models in specific knowledge bases, significantly enhancing accuracy and relevance. The limitations were also discussed for the above mentioned techniques. The session was then centralized to the theme – Agents and Agentic Frameworks. We uncovered the fundamental shift from basic chatbots to autonomous agents capable of planning, decision-making, and executing tasks. We moved forward with detailed discussion on the distinction between Single Agentic systems, where one core agent orchestrates the process, and Multi-Agent Architectures, where multiple specialized agents collaborate to achieve complex goals. A key part of building robust and reliable AI Agents, as we discussed, revolves around carefully considering four critical factors. Firstly, Knowledge-Providing agents with the right context is paramount for them to operate effectively and make informed decisions. Secondly, equipping agents with the necessary Actions by granting them access to the appropriate tools allows them to execute tasks and achieve desired outcomes. Thirdly, Security is non-negotiable; ensuring agents have access only to the data and services they genuinely need is crucial for maintaining privacy and preventing unintended actions. Finally, establishing robust Evaluations mechanisms is essential to verify that agents are completing tasks correctly and meeting the required standards. These four pillars – Knowledge, Actions, Security, and Evaluation – form the bedrock of any successful agentic implementation. To illustrate the transformative power of AI Agents, we explored several interesting use cases and applications. These ranged from intelligent personal assistants capable of managing schedules and automating workflows to sophisticated problem-solving systems in domains like customer service. A significant portion of the session was dedicated to practical implementation through demonstrations. We highlighted key frameworks that are empowering developers to build agentic systems.: Semantic Kernel: We highlighted its modularity and rich set of features for integrating various AI services and tools. Autogen Studio: The focus here was on its capabilities for facilitating the creation and management of multi-agent conversations and workflows. Agent Service: We discussed its role in providing a more streamlined and managed environment for deploying and scaling AI agents. The major point of attraction was that these were demonstrated using the local LLMs which were hosted using AI Toolkit. This showcased the ease with which developers can utilize VS Code AI toolkit to build and experiment with agentic workflows directly within their familiar development environment. Finally, we demystified the concept of Model Context Protocol (MCP) and demonstrated how seamlessly it can be implemented using the Agent Builder within the VS Code AI Toolkit. We demonstrated this with a basic Website development using MCP. This practical demonstration underscored the toolkit's power in simplifying the development of complex solutions that can maintain context and engage in more natural, multi-step interactions. The "AI Sparks" series concluded with a discussion, where attendees had a clearer understanding of the evolution, potential and practicalities of AI Agents. The session underscored that we are on the cusp of a new era of intelligent systems that are not just reactive but actively work alongside us to achieve goals. The tools and frameworks are maturing, and the possibilities for agentic applications are sparking innovation across various industries. It was an exciting journey, and engagement during the final session on AI Sparks around Agents truly highlighted the transformative potential of this field. "AI Sparks" Series Roadmap: The "AI Sparks" series delved deeper into specific topics using AI Toolkit for Visual Studio Code, including: Introduction to AI toolkit and feature walkthrough: Introduction to the AI Toolkit extension for VS Code a powerful way to explore and integrate the latest AI models from OpenAI, Meta, Deepseek, Mistral, and more. Introduction to SLMs and local model with use cases: Explore Small Language Models (SLMs) and how they compare to larger models. Building RAG Applications: Create powerful applications that combine the strengths of LLMs with external knowledge sources. Multimodal Support and Image Analysis: Working with vision models and building multimodal applications. Evaluation and Model Selection: Evaluate model performance and choose the best model for your needs. Agents and Agentic Frameworks: Exploring the cutting edge of AI agents and how they can be used to build more complex and autonomous systems. The full playlist of the series with all the episodes of "AI Sparks" is available at AI Sparks Playlist. Continue the discussion and questions in Microsoft AI Discord Community where we have a dedicated AI-sparks channel. All the code samples can be found on AI_Toolkit_Samples .We look forward to continuing these insightful discussions in future series!
