Building AI Agents with Microsoft Foundry: A Progressive Lab from Hello World to Self-Hosted
AI agent development has a steep on-ramp. The combination of new SDKs, tool-calling patterns, model selection decisions, retrieval-augmented generation, and deployment concerns means most developers spend more time wiring things together than actually building anything useful. The Microsoft Foundry Agent Lab is a structured, open-source demo series designed to change that — nine self-contained demos, each adding exactly one new concept, all built on the same Microsoft Foundry SDK and a single model deployment. This post walks through what the lab contains, how each demo works under the hood, and the architectural decisions that make it a useful reference for AI engineers building production agents. Why a Progressive Lab? Agent frameworks can be overwhelming. A developer who opens a rich example with RAG, tool-calling, streaming, and a custom UI all at once has no clear line of sight to which parts are essential and which are embellishments. The Foundry Agent Lab takes the opposite approach: start with the absolute minimum and introduce one new primitive per demo. By the time you reach Demo 8, you have seen every major capability — not in one monolithic sample, but in a layered sequence where each addition is visible and understandable. # Demo New Concept Tool Used UX 0 hello-demo Agent creation, Responses API, conversations None Terminal 1 tools-demo Function calling, tool-calling loop, live API FunctionTool Terminal 2 desktop-demo UI decoupling — same agent, different surface None Desktop (Tkinter) 3 websearch-demo Server-side built-in tools, no client loop WebSearchTool Terminal 4 code-demo Code execution in sandbox, Gradio web UI CodeInterpreterTool Web (Gradio) 5 rag-demo Document upload, vector stores, RAG grounding FileSearchTool Terminal 6 mcp-demo MCP servers, human-in-the-loop approval MCPTool Terminal 7 toolbox-demo Centralized tool governance, Toolbox versioning Toolbox Terminal 8 hosted-demo Self-hosted agent with Responses protocol Custom server Terminal + Agent Inspector The Model Router: One Deployment to Rule Them All Before diving into the demos, it is worth understanding the one architectural decision that ties the entire lab together: every agent uses model-router as its model deployment. MODEL_DEPLOYMENT=model-router Model Router is a Microsoft Foundry capability that inspects each request at inference time and routes it to the optimal available model — weighing task complexity, cost, and latency. A simple factual question goes to a fast, cheap model. A complex tool-calling chain with code generation gets routed to a frontier model. You write zero routing logic. The lab's MODEL-ROUTER.md file contains empirical observations from running all nine demos. A sample of what the router selected: Demo Query Task Type Model Selected hello "What's the capital of WA state?" Factual recall grok-4-1-fast-reasoning hello "Summarize our conversation" Summarization gpt-5.2-chat-2025-12-11 tools "What's the weather in Seattle?" Tool-using gpt-5.4-mini-2026-03-17 code Data analysis with code generation Code generation + execution gpt-5.4-2026-03-05 rag HR policy document question Retrieval + synthesis gpt-5.3-chat-2026-03-03 This is the strongest signal in the lab: you do not need to reason about model selection. You declare what your agent needs to do; the router handles the rest, and it chooses correctly. Demo 0: The Minimum Viable Agent The hello-demo establishes the baseline pattern used by every subsequent demo. Two files: one to register the agent, one to chat with it. Registering the agent from azure.identity import DefaultAzureCredential from azure.ai.projects import AIProjectClient from azure.ai.projects.models import PromptAgentDefinition credential = DefaultAzureCredential() project = AIProjectClient(endpoint=PROJECT_ENDPOINT, credential=credential) agent = project.agents.create_version( agent_name=AGENT_NAME, definition=PromptAgentDefinition( model=MODEL_DEPLOYMENT, instructions="You are a helpful, friendly assistant.", ), ) Authentication uses DefaultAzureCredential , which works with az login locally and with managed identity in production — no API keys anywhere in the code. Chatting with the agent # Create a server-side conversation (persists history across turns) conversation = openai.conversations.create() # Each turn sends the user message; the agent sees full history response = openai.responses.create( input=user_input, conversation=conversation.id, extra_body={"agent_reference": {"name": AGENT_NAME, "type": "agent_reference"}}, ) print(response.output_text) The conversation object is server-side. You pass its ID on every turn; the history lives in Foundry, not in a local list. This is the Responses API pattern — distinct from the older Completions or Chat Completions APIs. Demo 1: Function Tools and the Tool-Calling Loop Demo 1 adds function calling against a real weather API. The key insight here is that the model does not execute the function — it requests the execution, and your code executes it locally, then feeds the result back. Declaring a function tool from azure.ai.projects.models import FunctionTool, PromptAgentDefinition func_tool = FunctionTool( name="get_weather", description="Get the current weather for a given city.", parameters={ "type": "object", "properties": {"city": {"type": "string", "description": "City name"}}, "required": ["city"], }, strict=True, ) agent = project.agents.create_version( agent_name=AGENT_NAME, definition=PromptAgentDefinition( model=MODEL_DEPLOYMENT, tools=[func_tool], instructions="You are a weather assistant...", ), ) The tool-calling loop response = openai.responses.create(input=user_input, conversation=conversation.id, ...) # Loop while the model is requesting tool calls while any(item.type == "function_call" for item in response.output): input_list = [] for item in response.output: if item.type == "function_call": args = json.loads(item.arguments) result = get_weather(args["city"]) # execute locally input_list.append(FunctionCallOutput(call_id=item.call_id, output=result)) # Send results back to the agent response = openai.responses.create(input=input_list, conversation=conversation.id, ...) print(response.output_text) The strict=True parameter on FunctionTool enforces structured outputs — the model must return arguments that match the declared JSON schema exactly. This eliminates argument parsing errors in production. Demo 2: UI Is Not Your Agent Demo 2 runs the exact same agent as Demo 1 but surfaces it in a Tkinter desktop window. The point is pedagogical: your agent definition, conversation management, and tool-calling logic are entirely independent of your UI layer. Swapping from terminal to desktop requires changing only the presentation code — nothing in the agent or conversation path changes. This is a principle worth internalising early: agent logic and UI logic should never be entangled. The lab enforces this separation structurally. Demo 3: Server-Side Built-In Tools The web search demo introduces a sharp contrast with Demo 1. With WebSearchTool , the tool-calling loop disappears entirely from client code: from azure.ai.projects.models import WebSearchTool agent = project.agents.create_version( agent_name="Search-Agent", definition=PromptAgentDefinition( model=MODEL_DEPLOYMENT, tools=[WebSearchTool()], instructions="You are a research assistant...", ), ) The agent decides when to search, executes the search server-side, and returns a grounded response with citations. Your client code looks identical to Demo 0 — a simple responses.create() call with no tool loop. The distinction matters architecturally: Function tools (Demo 1) — tool execution happens on your client; you control the code, the API call, the error handling. Built-in tools (Demo 3+) — tool execution happens inside Foundry; you get results without managing execution. Demo 4: Code Interpreter and the Gradio Web UI Demo 4 attaches CodeInterpreterTool , which gives the agent a sandboxed Python execution environment inside Foundry. The agent can write code, run it, observe output, and iterate — all server-side. Combined with a Gradio web interface, this demo shows an agent that can perform data analysis, generate charts, and explain results through a browser UI. Model Router is particularly interesting here: the empirical data shows it selects a more capable frontier model ( gpt-5.4-2026-03-05 ) for code-generation tasks, while simpler conversational turns stay on lighter models. Demo 5: Retrieval-Augmented Generation with FileSearchTool Demo 5 introduces RAG. The setup phase uploads a document, creates a vector store, and attaches it to the agent: # Upload document and create a vector store vector_store = openai.vector_stores.create(name="employee-handbook-store") with open("data/employee-handbook.md", "rb") as f: openai.vector_stores.files.upload_and_poll( vector_store_id=vector_store.id, file=f ) # Attach the vector store to the agent agent = project.agents.create_version( agent_name="RAG-Agent", definition=PromptAgentDefinition( model=MODEL_DEPLOYMENT, tools=[FileSearchTool(vector_store_ids=[vector_store.id])], instructions="Answer questions using only the provided documents...", ), ) At query time, the agent embeds the question, searches the vector store semantically, retrieves matching chunks, and generates an answer grounded in the retrieved content — entirely server-side. The client code remains a plain responses.create() call. An important detail: the .vector_store_id file is written to disk during setup and read back during the chat session, so the demo survives process restarts without re-uploading the document. The .gitignore excludes this file from source control. Demo 6: Model Context Protocol Demo 6 connects the agent to a GitHub MCP server, giving it access to repository and issue data via the open Model Context Protocol standard. MCP servers expose tools over a standardised wire protocol; the agent discovers and calls them without any client-side function declarations. The demo also demonstrates human-in-the-loop approval: before executing any MCP tool call, the agent surfaces the proposed action and waits for the user to confirm. This is an important safety pattern for agents that can trigger side effects on external systems. Demo 7: Toolbox — Centralised Tool Governance Where Demo 6 connects to a single MCP server directly, Demo 7 uses a Toolbox — a managed Microsoft Foundry resource that bundles multiple tools into a single, versioned, MCP-compatible endpoint. The Toolbox in this demo exposes both GitHub Issues and GitHub Repos tools, curated into an immutable versioned snapshot. This pattern is significant for production multi-agent systems: Centralised governance — one team owns the tool definitions; all agents consume them via a single endpoint. Versioned snapshots — promoting a new Toolbox version is explicit; agents pin to a version and upgrade intentionally. MCP compatibility — any MCP-capable agent or framework can connect, not just Foundry SDK agents. from azure.ai.projects.models import McpTool toolbox_tool = McpTool( server_label="toolbox", server_url=TOOLBOX_ENDPOINT, allowed_tools=[], # empty = all tools in the Toolbox version headers={"Authorization": f"Bearer {token}"}, ) Demo 8: Self-Hosted Agent with the Responses Protocol The final demo departs from the prompt-agent pattern. Instead of registering a declarative agent in Foundry, Demo 8 implements a custom agent server using the Responses protocol. The server exposes a streaming HTTP endpoint; Foundry's Agent Inspector can connect to it and route user turns to it just as it would to a hosted prompt agent. This demo includes a Dockerfile and an agent.yaml , enabling deployment to Foundry's container hosting service. It uses gpt-4.1-mini directly rather than the model router, because the custom server owns the entire inference path. When to consider this pattern: Your agent requires custom pre- or post-processing logic that cannot be expressed in a system prompt. You need to integrate with infrastructure that is not reachable through MCP or built-in tools. You want to own the inference call for cost control, A/B testing, or compliance reasons. You are building a multi-agent orchestrator that needs to expose itself as an agent to other orchestrators. Getting Started The lab requires Python 3.10 or higher, an Azure subscription with a Microsoft Foundry project, and the Azure CLI. 1. Clone and set up the virtual environment git clone https://github.com/microsoft-foundry/Foundry-Agent-Lab.git cd Foundry-Agent-Lab # Create and activate the virtual environment python -m venv .venv # Windows Command Prompt .venv\Scripts\activate.bat # Windows PowerShell .venv\Scripts\Activate.ps1 # macOS / Linux source .venv/bin/activate pip install -r requirements.txt 2. Configure a demo copy hello-demo\.env.sample hello-demo\.env # Edit hello-demo\.env and set PROJECT_ENDPOINT Your PROJECT_ENDPOINT is on the Overview page of your Foundry project in the Azure portal. It takes the form https://your-resource.ai.azure.com/api/projects/your-project . 3. Run the demo az login 0-hello-demo Each numbered batch file at the root activates the virtual environment, runs create_agent.py , and launches chat.py . Append log to capture the full session transcript: 0-hello-demo log Reset between runs hello-demo\reset.bat Every demo includes a reset.bat that deletes the registered agent and any associated resources (vector stores, uploaded files). Demos are fully repeatable. Architecture Principles Demonstrated Across the nine demos, the lab illustrates a set of design principles that apply directly to production agent systems: Keyless authentication throughout Every demo uses DefaultAzureCredential . No API keys appear anywhere in the code. Locally, az login provides credentials. In production, managed identity takes over automatically — same code, no secrets to rotate. Server-side conversation state The Responses API stores conversation history server-side. Your application passes a conversation ID; Foundry maintains the thread. This eliminates the common bug of truncating history due to local list management and makes multi-process or multi-instance deployments straightforward. Client-side vs server-side tool execution The lab makes the distinction explicit. Function tools execute in your process — you control the code, the external call, and the error handling. Built-in tools (WebSearch, CodeInterpreter, FileSearch) execute inside Foundry — you get results without managing execution infrastructure. MCP tools (Demo 6, 7) fall between these: they execute in a separately deployed server, with the protocol mediating the call. Progressive tool introduction Each demo's create_agent.py registers the agent once. The chat.py file handles the conversation loop. These two responsibilities are always separate, making it easy to update agent definitions without modifying conversation logic, and vice versa. Security Considerations When building agents for production, keep the following in mind: Never commit .env files. The .gitignore excludes them, but verify this before pushing. Use Azure Key Vault or environment variable injection in CI/CD pipelines. Use managed identity in production. DefaultAzureCredential automatically picks up managed identity when deployed to Azure, eliminating the need for any stored credentials. Apply human-in-the-loop for side-effecting tools. Demo 6 demonstrates this pattern for MCP tool calls. Any agent that can modify external state (create issues, send emails, write files) should surface proposed actions for confirmation. Validate tool outputs before use. Treat data returned by external tools (weather APIs, search results, document retrieval) as untrusted input. Prompt injection through tool results is a real attack surface; grounding instructions in your system prompt reduce but do not eliminate this risk. Scope Toolbox permissions narrowly. When using a Toolbox (Demo 7), use allowed_tools to restrict which tools the agent can call, rather than granting access to all tools in a Toolbox version. Key Takeaways Start with the minimum. A prompt agent with no tools requires fewer than 30 lines of code using the Foundry SDK. Add tools only when the use case demands them. Use model-router unless you have a specific reason not to. The empirical data in the lab shows the router selects appropriate models across all task types — factual, creative, tool-calling, RAG, and code generation. Understand the client/server tool boundary. Function tools give you control; built-in tools give you simplicity. MCP and Toolbox give you governance and interoperability. Choose based on where you need control and where you need scale. Conversation state belongs on the server. Do not maintain conversation history in application memory if you can avoid it. The Responses API conversation object is designed for this. The hosted-demo pattern is for when you need to own the inference path. For most use cases, a declarative prompt agent is sufficient and far simpler to operate. Next Steps Explore the repo: github.com/microsoft-foundry/Foundry-Agent-Lab Microsoft Foundry SDK documentation: learn.microsoft.com/azure/ai-studio/ Responses API quickstart: Prompt agent quickstart Model Router conceptual documentation: Model Router for Microsoft Foundry Model Context Protocol: modelcontextprotocol.io Azure Identity SDK (DefaultAzureCredential): azure-identity Python SDK The Foundry Agent Lab is open source under the MIT licence. Contributions, bug reports, and feature requests are welcome through GitHub Issues. See CONTRIBUTING.md for guidelines.How to Visualize Your Azure AI Workloads Usage for Observability
This article assumes you already have an Azure Foundry project and resource deployed in Microsoft Foundry. The options referenced here are documented in detail in the linked articles; this post serves as a consolidated step by step guide bringing them all together and explaining where each option is most useful. A Summary: Need Best Option Quick day-over-day visual, minimal setup Grafana Dashboard (Option 3) Custom growth % calculations App Insights + KQL in Log Analytics (Option 4) Shareable, interactive report Azure Workbooks (Option 5) Per-user/per-agent granularity APIM + App Insights (Option 6) Quick one-off chart, export to Excel Microsoft Foundry Monitor tab or App Insights Metrics Explorer (Option 1 and 2) Option 1. Within the Microsoft Foundry Portal (Quickest, No Setup) If you have models deployed in Microsoft Foundry and would like to monitor its usage, go to the New Foundry Portal → Build → Models → Monitor tab. View metrics such as: Estimated cost Total token usage Input vs. output tokens Number of requests This is the simplest way to monitor both model and agent usage. For PAYG plans: You can also view your total allocated quota (and figure out which Tier you are on) using the Quota Management Screen (New Foundry Portal → Operate → Quota tab). This screen shows how much your total allocated quota is, per model in a given subscription + region + Deployment Type (Global, Data Zones or Regional). For eg., in the image below, for gpt-4o, I am allocated 7M total TPM in my subscription. I am only using 150K TPM of the allocated 7M TPM amount. Which means, my requests will get throttled if I exceed the 150K TPM limit. To avoid throttling, I would need to increase my shared allocation limit. NOTE: you are charged for usage, so if you allow more capacity, you use more, so you pay more. Option 2: Azure Monitor Metrics Explorer This is already built into the Azure Portal and gives you time-series charts out of the box. Go to Azure Portal → your Azure OpenAI / Foundry resource → Monitoring → Metrics Select a metric like AzureOpenAIRequests or TokenTransaction Set Aggregation to Sum (total) or Max and Time granularity to 1 day Split by ModelDeploymentName to see per-model trends Adjust the time range (e.g., last 30 days) — you'll see day-over-day bars/lines Tip: You can pin these charts to an Azure Dashboard for a persistent view, or click Share → Download to Excel to get the raw data for your own analysis. Option 3: Azure Managed Grafana (Best Pre-Built Dashboard) This is the best option for a polished, real-time, day-over-day dashboard with no custom code. There's a pre-built AI Foundry dashboard ready to import. [grafana.com], [Create a M...ed Grafana] How to set it up: Create an Azure Managed Grafana workspace (if you don't have one) In Grafana, go to Dashboards → New → Import → enter dashboard ID 24039 (for Foundry) Select your Azure Monitor data source and point it to your Foundry resource Tip: You can also import this directly from the Azure Portal: Monitor → Dashboards with Grafana → AI Foundry. That's it — the dashboard gives you (per model deployment): Token trends over time (inference, prompt, completion — day over day) Request trends over time (AzureOpenAIRequests as a time series) Latency trends (bonus) NOTE: Default time range is 7 days — adjust to 30/60/90 days for growth trends Option 4: Application Insights + KQL Queries (Most Flexible, Custom Reports) If you want fully custom day-over-day growth calculations (e.g., % change day-to-day), this is the way. [azurefeeds.com] Setup: Ensure your Foundry project is connected to an Application Insights resource (Foundry → Settings → Connected Resources). Open up App Insights resource → Logs → New Query or choose a sample query. In the images below, we simply ran 'requests' and set the time range to 24 hours. There is also a Kusto Query Language (KQL) mode or Simple mode on the right-hand side: Simple mode will let you run out of the box samples. KQL mode will open up a query window for you to enter custom queries. Below are the results in grid view. Same view but showing a chart: Export options: Another way to get the above graphs are via Log Analytics. Simply enable Diagnostic Settings on your Azure OpenAI resource → send to a Log Analytics workspace. Open Log Analytics → Logs and try our your sample queries. Sample KQL for day-over-day token usage (adjust to your needs): AzureMetrics | where MetricName in ("TokenTransaction", "ProcessedPromptTokens", "GeneratedTokens") | where TimeGenerated > ago(30d) | summarize DailyTokens = sum(Total) by bin(TimeGenerated, 1d), MetricName | order by TimeGenerated asc | render timechart Result: Sample KQL for day-over-day growth % (adjust to your needs): AzureMetrics | where MetricName == "TokenTransaction" | where TimeGenerated > ago(30d) | summarize DailyTokens = sum(Total) by Day = bin(TimeGenerated, 1d) | sort by Day asc | extend PrevDay = prev(DailyTokens) | extend GrowthPct = round((DailyTokens - PrevDay) / PrevDay * 100, 2) | project Day, DailyTokens, GrowthPct Option 5: Azure Monitor Workbooks (Custom Dashboards, Shareable) Workbooks let you build interactive, parameterized dashboards that combine metrics and KQL logs. What's more, you can select resources from multiple subscriptions and visualize them all in one place using Workbooks! Go to Azure Portal → Monitor → Workbooks → New Add a Metrics query panel → select your Log Analytics or App Insights or Foundry resource -> Enter the same query you used in Option 4. Do a test run and view the graphs (this can be viewed as charts or a list (grid view)): 4. Save and share with your team. Option 6: APIM + Application Insights (Granular Per-Caller/Per-Agent Tracking) 1. If your app routes requests through Azure API Management, you can use the azure-openai-emit-token-metric policy to send per-request token metrics to Application Insights with custom dimensions (User ID, Subscription ID, Agent, etc.). [Azure API...osoft Docs] This is ideal for scenarios like: "Which agent consumed the most tokens last week?" "What's the token usage per API consumer/team?" NOTE: Microsoft Foundry resources do not track usage by users. So, fronting your Foundry resource with an APIM could be a way to track users provided you pass the username/id in the request context. How you implement this is upto your app design. Ref: AI-Gateway/labs/token-metrics-emitting/token-metrics-emitting.ipynb at main · Azure-Samples/AI-Gateway · GitHub Bonus: Check out all other APIM + AI related policies here: AI-Gateway/labs/semantic-caching at main · Azure-Samples/AI-Gateway AI-Gateway/labs/token-rate-limiting at main · Azure-Samples/AI-Gateway AI-Gateway/labs/token-metrics-emitting/token-metrics-emitting.ipynb at main · Azure-Samples/AI-Gateway · GitHubFrom Prompt to Production: Open in VS Code for Terraform in Azure Copilot
We’re excited to introduce a new step in the Terraform on Azure experience: Open in VS Code, now available directly from Azure Copilot in the Azure Portal. This capability helps you move seamlessly from AI‑generated Terraform code to real Azure deployments - within a connected, guided workflow designed for enterprise scenarios. Why This Matters Infrastructure as Code with Terraform is powerful, but moving from generated configuration to a deployed environment typically involves multiple tools and handoffs. Teams need to understand Terraform state, work with remote backends, and integrate their code into version‑controlled CI/CD pipelines - often backed by Terraform Cloud or Azure‑native backends in enterprise environments. Open in VS Code brings these steps together. It bridges the gap between AI‑assisted authoring in the Azure Portal and the real‑world workflows required to validate, manage state, and deploy infrastructure with confidence. Continue Your Workflow in VS Code With Azure Copilot, you can describe your infrastructure in natural language and generate Terraform configurations in seconds. For example: “Create an Azure Container App using Terraform with a managed environment, Log Analytics enabled, and a system‑assigned managed identity to securely pull images from Azure Container Registry.” Copilot generates the Terraform configuration for you. From there, you can select Open full view to enter a full‑screen Terraform editor, and then choose Open in VS Code to launch the configuration in an Azure‑hosted VS Code environment. There’s no need to download files or set up a local development environment. VS Code for the web opens with Azure authentication already configured, along with commonly used extensions, so you can immediately focus on refining, validating, and preparing your infrastructure for deployment. Built‑in Guidance for Real Deployments Beyond editing, the VS Code experience includes built‑in, step‑by‑step guidance to help you deploy your Terraform configuration into your own Azure environment - whether you’re experimenting or preparing for production. Because Terraform relies on state management, the workflow starts by helping you choose and configure a backend. Backend Options Option 1: Azure Storage Account as a remote backend A natural fit for Azure‑native and enterprise environments. The experience guides you through creating or selecting a storage account and configuring Terraform to store state securely in Azure. Option 2: HCP Terraform (Terraform Cloud) as a remote backend Ideal for teams already using Terraform Cloud. The guided flow helps you authenticate, connect to an existing organization and workspace, and generate the required backend configuration directly into your Terraform files. Option 3: Temporary workspace for quick validation Designed for learning and experimentation. You can run terraform plan and terraform apply directly in the Azure workspace with temporary state, without committing to a long‑term backend - ideal for quick validation, but not intended for production use. Each option includes an end‑to‑end walkthrough, so you can complete backend setup and run Terraform commands without leaving the VS Code environment or searching through external documentation. Connecting Code, State, and Deployment This experience connects three essential parts of the Terraform workflow: AI‑assisted code generation in Azure Portal Copilot Interactive editing and guided execution in VS Code for the web Flexible backend options for managing Terraform state Together, these pieces make it easier to move from idea to infrastructure in a structured, supported way—whether you’re new to Terraform or managing production workloads with established CI/CD pipelines. Available Now - and What’s Next The Open in VS Code experience for Terraform is now public preview in Azure Portal Copilot. We’re continuing to invest in this workflow, including clearer deployment guidance, future integration with GitHub Actions and other CI/CD pipelines, and deeper enhancements to the full‑screen Terraform editor experience. If you haven’t tried it yet, generate a Terraform configuration with Azure Copilot and open it in VS Code to go from prompt to production end to end in one connected workflow.
Dev Containers for .NET in VS Code: A Beginner‑Friendly Guide That Actually Works
What Dev Containers are really about At a high level, Dev Containers let you use a Docker container as your development environment inside VS Code. But the real idea is not “Docker for development”. The real idea is this: Move all environment complexity out of your laptop and into version‑controlled configuration. With Dev Containers: Your laptop becomes just a VS Code client Your tools, SDKs, runtimes, and dependencies live inside the container Your project defines its own development environment, not your machine This means: You can switch projects without breaking anything You can delete and recreate your environment safely New developers get the same setup without tribal knowledge Why Dev Containers are so useful for .NET projects .NET development often looks simple at first until it doesn’t. Common pain points: Different developers using different .NET SDK versions One project needs .NET 6, another needs .NET 8 Native dependencies work on one machine but not another CI runs on Linux but developers run on Windows Dev Containers solve this by: Locking the SDK version and OS used for development Running everything in a Linux container (close to CI/production) Keeping developer machines clean and stable Making onboarding almost instant: clone → reopen in container → run Once the .devcontainer folder is committed to the repo, the environment becomes part of the codebase, not a wiki page. How Dev Containers work in VS Code You don’t need deep Docker knowledge to use Dev Containers. Here’s the mental model that helped me: Your repository contains a .devcontainer folder Inside it, devcontainer.json describes the development environment VS Code reads that file and starts a container VS Code connects to the container and runs extensions inside it Your source code stays on your machine, but: the terminal runs inside the container the debugger runs inside the container the SDKs live inside the container If something breaks, you rebuild the container, not your laptop. When Dev Containers are a great choice (and when they’re not) Dev Containers are a great fit when: You work on multiple projects with different requirements Your team struggles with environment consistency You want Linux parity for CI and containerized deployments You value reproducibility over ad‑hoc local setup They may not be ideal when: You’re working on very small throwaway scripts You rely heavily on Windows‑only tooling You cannot use Docker at all in your environment For most professional .NET teams, the benefits far outweigh the cost. Docker on Windows: a choice you must make early When starting with Dev Containers on Windows, one of the first decisions you must make is how Docker runs on your machine. Both Docker Desktop and Docker Engine inside WSL work well with Dev Containers but they serve slightly different needs. Using Docker Desktop Docker Desktop is the easiest and most beginner‑friendly way to get started with Dev Containers. Pros Very quick setup with minimal configuration Comes with a graphical dashboard for containers, images, and logs Integrates smoothly with VS Code and WSL2 Easier to troubleshoot when you’re learning Cons Uses more system resources in the background Runs additional services even when you’re not actively developing May be restricted or licensed differently in some enterprise environments When to use Docker Desktop You are new to Docker or Dev Containers You want the simplest and fastest setup You value ease of use over fine‑grained control You are working on personal projects or in environments where Docker Desktop is allowed For most developers starting out with Dev Containers, Docker Desktop is the recommended entry point. Using Docker Engine inside WSL This approach installs Docker Engine directly inside a Linux distribution (like Ubuntu) running on WSL2, without Docker Desktop. Pros Lower resource usage compared to Docker Desktop Linux‑native behavior (closer to CI and production) No dependency on Docker Desktop Often preferred in enterprise or restricted environments Cons Requires manual installation and configuration Needs basic Linux and WSL knowledge No graphical UI everything is CLI‑based When to use Docker Engine in WSL Docker Desktop is not allowed or restricted You want a leaner, Linux‑first workflow You already work mostly inside WSL You want tighter control over your Docker setup This approach is ideal once you are comfortable with Docker and WSL. Note : Do not mix Docker Desktop and Docker Engine inside WSL.Pick one approach and stick with it. Running both at the same time often leads to Docker context confusion and Dev Containers failing in unpredictable ways, even when your configuration looks correct. A performance tip that makes a huge difference If you’re using Linux containers with WSL, store your code inside the WSL filesystem. Recommended: /home/<user>/projects/your-repo Avoid: /mnt/c/Users/<user>/your-repo Linux containers accessing Windows files are slower and cause file‑watching issues. Moving the repo into WSL made my Dev Containers feel almost native. First‑time setup: the simplest way to start If you’re trying Dev Containers for the first time, follow this exact order: Install Visual Studio Code Install the Dev Containers extension Install Docker Desktop (or Docker Engine in WSL) Clone your repo inside the WSL filesystem Open the folder in VS Code Run “Dev Containers: Reopen in Container” That’s it. VS Code handles the rest. Your first .NET Dev Container (hands‑on example) Tech Stack .NET 8 Web API PostgreSQL 16 Entity Framework Core + Npgsql VS Code Dev Containers Docker Compose Project Structure my-blog-api/ ├─ .devcontainer/ │ └─ devcontainer.json ├─ docker-compose.yml └─ src/ └─ BlogApi/ ├─ Program.cs ├─ BlogApi.csproj ├─ appsettings.json ├─ Models/ └─ Data/ Step 1: Create the Web API mkdir my-blog-api cd my-blog-api mkdir src && cd src dotnet new webapi -n BlogApi cd BlogApi Step 2: Add EF Core + PostgreSQL packages dotnet add package Npgsql.EntityFrameworkCore.PostgreSQL dotnet add package Microsoft.EntityFrameworkCore.Design Step 3: Docker Compose (API + PostgreSQL) Create docker-compose.yml at the repo root: version: "3.8" services: app: image: mcr.microsoft.com/devcontainers/dotnet:1-8.0 volumes: - .:/workspace:cached working_dir: /workspace command: sleep infinity ports: - "5000:5000" depends_on: - db db: image: postgres:16 environment: POSTGRES_USER: devuser POSTGRES_PASSWORD: devpwd POSTGRES_DB: devdb ports: - "5432:5432" volumes: - pgdata:/var/lib/postgresql/data pgadmin: image: dpage/pgadmin4 environment: PGADMIN_DEFAULT_EMAIL: admin@admin.com PGADMIN_DEFAULT_PASSWORD: admin ports: - "5050:80" depends_on: - db volumes: pgdata: Step 4: Dev Container configuration Create .devcontainer/devcontainer.json: { "name": "dotnet-postgres-devcontainer", "dockerComposeFile": "../docker-compose.yml", "service": "app", "workspaceFolder": "/workspace", "shutdownAction": "stopCompose", "customizations": { "vscode": { "extensions": [ "ms-dotnettools.csdevkit", "ms-dotnettools.csharp", "ms-azuretools.vscode-docker" ] } }, "postCreateCommand": "dotnet restore" } Open the folder in VS Code and run: Dev Containers: Reopen in Container Step 5: Connection string (container‑to‑container) Update appsettings.json: { "ConnectionStrings": { "DefaultConnection": "Host=db;Port=5432;Database=devdb;Username=devuser;Password=devpwd" }, "Logging": { "LogLevel": { "Default": "Information", "Microsoft.AspNetCore": "Warning" } }, "AllowedHosts": "*" } Host=db works because Docker Compose provides internal DNS between services. Step 6: EF Core Model & DbContext Post entity – Models/Post.cs namespace BlogApi.Models; public class Post { public int Id { get; set; } public string Title { get; set; } = string.Empty; public string Content { get; set; } = string.Empty; public DateTime CreatedUtc { get; set; } = DateTime.UtcNow; } DbContext – Data/BlogDbContext.cs using BlogApi.Models; using Microsoft.EntityFrameworkCore; namespace BlogApi.Data; public class BlogDbContext : DbContext { public BlogDbContext(DbContextOptions<BlogDbContext> options) : base(options) { } public DbSet<Post> Posts => Set<Post>(); } Step 7: Program.cs (Minimal CRUD) Replace Program.cs with: using BlogApi.Data; using BlogApi.Models; using Microsoft.EntityFrameworkCore; var builder = WebApplication.CreateBuilder(args); builder.Services.AddDbContext<BlogDbContext>(options => options.UseNpgsql(builder.Configuration.GetConnectionString("DefaultConnection"))); builder.Services.AddEndpointsApiExplorer(); builder.Services.AddSwaggerGen(); var app = builder.Build(); // Apply migrations on startup (dev-only convenience) using (var scope = app.Services.CreateScope()) { var db = scope.ServiceProvider.GetRequiredService<BlogDbContext>(); db.Database.Migrate(); } app.UseSwagger(); app.UseSwaggerUI(); app.MapGet("/posts", async (BlogDbContext db) => await db.Posts.OrderByDescending(p => p.CreatedUtc).ToListAsync()); app.MapPost("/posts", async (Post post, BlogDbContext db) => { db.Posts.Add(post); await db.SaveChangesAsync(); return Results.Created($"/posts/{post.Id}", post); }); app.MapPut("/posts/{id:int}", async (int id, Post input, BlogDbContext db) => { var post = await db.Posts.FindAsync(id); if (post is null) return Results.NotFound(); post.Title = input.Title; post.Content = input.Content; await db.SaveChangesAsync(); return Results.Ok(post); }); app.MapDelete("/posts/{id:int}", async (int id, BlogDbContext db) => { var post = await db.Posts.FindAsync(id); if (post is null) return Results.NotFound(); db.Posts.Remove(post); await db.SaveChangesAsync(); return Results.NoContent(); }); app.Run("http://0.0.0.0:5000"); Step 8: Run migrations (inside Dev Container) cd src/BlogApi dotnet tool install --global dotnet-ef export PATH="$PATH:/home/vscode/.dotnet/tools" dotnet ef migrations add InitialCreate dotnet ef database update Step 9: Run the API dotnet run 🔗 Open: Swagger → http://localhost:5000/swagger Posts API → http://localhost:5000/posts Common mistakes and quick fixes Mistake Symptom Fix Mixing Docker models Random failures Use only one Docker approach Code under /mnt/c Slow builds Move repo to WSL filesystem Docker not running Container won’t start Check docker info Pruning first Issues return Fix daemon/context first Common Challenges Faced Multiple Docker engines active simultaneously Docker Desktop and Docker Engine inside WSL were both present, causing conflicts. Unstable Docker CLI context Docker CLI intermittently pointed to different or broken Docker endpoints. Docker daemon appeared running but was unusable Docker commands failed with API errors despite the daemon seeming active. systemd dependency issues inside WSL Docker Engine depended on systemd, which was not consistently active after WSL restarts. Dev Containers failing during setup VS Code Dev Containers surfaced failures during feature installation and builds. Misleading Docker error messages Errors pointed to API or version issues, masking the real root cause. Cache cleanup ineffective Pruning images and containers did not resolve underlying daemon issues. Container observability confusion PostgreSQL and pgAdmin worked, but container health, volumes, and data locations were unclear. Solutions & Maintainable Settings Enforce a Single Docker Model. Use either Docker Desktop or native Docker Engine inside WSL .never both. docker version docker info Verify only one server is shown No references to dockerDesktopLinuxEngine when using native WSL Docker Explicitly Lock Docker CLI Context. Always verify and set Docker context before running Compose or Dev Containers. docker context ls docker context show docker context use default Context must point to the intended daemon (WSL or Desktop) Validate Docker Daemon Health Before Project Start.Confirm Docker is reachable before Dev Containers or Compose. docker info docker ps Must return without API / 500 / version errors Do not proceed if these fail Ensure systemd Is Enabled in WSL.Docker Engine inside WSL depends on systemd. cat /etc/wsl.conf Expected: [boot] systemd=true If not then apply changes.Restart WSL and re‑verify: wsl --shutdown systemctl status docker Start Docker Explicitly After WSL Restart.WSL restarts silently stop services. sudo systemctl start docker sudo systemctl enable docker Verify: docker ps Use Only WSL Native Filesystem for Projects.Keep project under /home/<user>/... Avoid /mnt/c/... paths. Path starts with /home/ Treat Dev Containers as a Consumer, Not the Fix. Fix Docker issues outside Dev Containers first. Pre‑check Commands docker compose config docker compose up -d Compose works before opening Dev Container Keep Dev Container Features Minimal on First Run Start with base image + required services only Add features after baseline stability docker images docker ps Verify Container Observability Explicitly.Confirm containers are healthy, ports mapped, volumes mounted. docker ps docker inspect <container_name> docker logs <container_name> Port check: ss -lntp | grep <port> Avoid Cache Cleanup as a First Fix. Do not rely on prune to fix daemon issues Only After Daemon Is Healthy docker system prune -f docker volume prune -f Establish a “Known‑Good” Baseline Checklist. Validate sequence before development starts Baseline Flow wsl --shutdown # reopen WSL sudo systemctl start docker docker context show docker info docker compose up -d code . # Only then open Reopen in Container If something breaks in between after running dev container we can stop and clean the containers and rebuild it again docker ps docker stop $(docker ps -q) docker rm -f $(docker ps -aq) docker ps Closing Thoughts Dev Containers shift local development from fragile, machine‑specific setups to reproducible, version‑controlled environments. With Dev Containers, Docker Compose, PostgreSQL, and pgAdmin, your entire .NET development stack lives inside containers.not on your laptop. SDKs, databases, and tools are isolated, consistent, and easy to rebuild. When something breaks, you rebuild containers.not machines. This approach removes onboarding friction, improves Linux parity with CI, and eliminates the classic “works on my machine” problem. Once Docker is stable, Dev Containers become one of the most reliable ways to build modern .NET applications. Key Takeaways Dev Containers treat the development environment as code .NET, PostgreSQL, and pgAdmin run fully isolated in containers pgAdmin provides clear visibility into database state and migrations Docker stability is a prerequisite.Dev Containers are not a Docker fix Onboarding becomes simple: clone → reopen in container → run Rebuild containers, not laptopsAZD for Beginners: A Practical Introduction to Azure Developer CLI
If you are learning how to get an application from your machine into Azure without stitching together every deployment step by hand, Azure Developer CLI, usually shortened to azd , is one of the most useful tools to understand early. It gives developers a workflow-focused command line for provisioning infrastructure, deploying application code, wiring environment settings, and working with templates that reflect real cloud architectures rather than toy examples. This matters because many beginners hit the same wall when they first approach Azure. They can build a web app locally, but once deployment enters the picture they have to think about resource groups, hosting plans, databases, secrets, monitoring, configuration, and repeatability all at once. azd reduces that operational overhead by giving you a consistent developer workflow. Instead of manually creating each resource and then trying to remember how everything fits together, you start with a template or an azd -compatible project and let the tool guide the path from local development to a running Azure environment. If you are new to the tool, the AZD for Beginners learning resources are a strong place to start. The repository is structured as a guided course rather than a loose collection of notes. It covers the foundations, AI-first deployment scenarios, configuration and authentication, infrastructure as code, troubleshooting, and production patterns. In other words, it does not just tell you which commands exist. It shows you how to think about shipping modern Azure applications with them. What Is Azure Developer CLI? The Azure Developer CLI documentation on Microsoft Learn, azd is an open-source tool designed to accelerate the path from a local development environment to Azure. That description is important because it explains what the tool is trying to optimise. azd is not mainly about managing one isolated Azure resource at a time. It is about helping developers work with complete applications. The simplest way to think about it is this. Azure CLI, az , is broad and resource-focused. It gives you precise control over Azure services. Azure Developer CLI, azd , is application-focused. It helps you take a solution made up of code, infrastructure definitions, and environment configuration and push that solution into Azure in a repeatable way. Those tools are not competitors. They solve different problems and often work well together. For a beginner, the value of azd comes from four practical benefits: It gives you a consistent workflow built around commands such as azd init , azd auth login , azd up , azd show , and azd down . It uses templates so you do not need to design every deployment structure from scratch on day one. It encourages infrastructure as code through files such as azure.yaml and the infra folder. It helps you move from a one-off deployment towards a repeatable development workflow that is easier to understand, change, and clean up. Why Should You Care About azd A lot of cloud frustration comes from context switching. You start by trying to deploy an app, but you quickly end up learning five or six Azure services, authentication flows, naming rules, environment variables, and deployment conventions all at once. That is not a good way to build confidence. azd helps by giving a workflow that feels closer to software delivery than raw infrastructure management. You still learn real Azure concepts, but you do so through an application lens. You initialise a project, authenticate, provision what is required, deploy the app, inspect the result, and tear it down when you are done. That sequence is easier to retain because it mirrors the way developers already think about shipping software. This is also why the AZD for Beginners resource is useful. It does not assume every reader is already comfortable with Azure. It starts with foundation topics and then expands into more advanced paths, including AI deployment scenarios that use the same core azd workflow. That progression makes it especially suitable for students, self-taught developers, workshop attendees, and engineers who know how to code but want a clearer path into Azure deployment. What You Learn from AZD for Beginners The AZD for Beginners course is structured as a learning journey rather than a single quickstart. That matters because azd is not just a command list. It is a deployment workflow with conventions, patterns, and trade-offs. The course helps readers build that mental model gradually. At a high level, the material covers: Foundational topics such as what azd is, how to install it, and how the basic deployment loop works. Template-based development, including how to start from an existing architecture rather than building everything yourself. Environment configuration and authentication practices, including the role of environment variables and secure access patterns. Infrastructure as code concepts using the standard azd project structure. Troubleshooting, validation, and pre-deployment thinking, which are often ignored in beginner content even though they matter in real projects. Modern AI and multi-service application scenarios, showing that azd is not limited to basic web applications. One of the strongest aspects of the course is that it does not stop at the first successful deployment. It also covers how to reason about configuration, resource planning, debugging, and production readiness. That gives learners a more realistic picture of what Azure development work actually looks like. The Core azd Workflow The official overview on Microsoft Learn and the get started guide both reinforce a simple but important idea: most beginners should first understand the standard workflow before worrying about advanced customisation. That workflow usually looks like this: Install azd . Authenticate with Azure. Initialise a project from a template or in an existing repository. Run azd up to provision and deploy. Inspect the deployed application. Remove the resources when finished. Here is a minimal example using an existing template: # Install azd on Windows winget install microsoft.azd # Check that the installation worked azd version # Sign in to your Azure account azd auth login # Start a project from a template azd init --template todo-nodejs-mongo # Provision Azure resources and deploy the app azd up # Show output values such as the deployed URL azd show # Clean up everything when you are done learning azd down --force --purge This sequence is important because it teaches beginners the full lifecycle, not only deployment. A lot of people remember azd up and forget the cleanup step. That leads to wasted resources and avoidable cost. The azd down --force --purge step is part of the discipline, not an optional extra. Installing azd and Verifying Your Setup The official install azd guide on Microsoft Learn provides platform-specific instructions. Because this repository targets developer learning, it is worth showing the common install paths clearly. # Windows winget install microsoft.azd # macOS brew tap azure/azd && brew install azd # Linux curl -fsSL https://aka.ms/install-azd.sh | bash After installation, verify the tool is available: azd version That sounds obvious, but it is worth doing immediately. Many beginner problems come from assuming the install completed correctly, only to discover a path issue or outdated version later. Verifying early saves time. The Microsoft Learn installation page also notes that azd installs supporting tools such as GitHub CLI and Bicep CLI within the tool's own scope. For a beginner, that is helpful because it removes some of the setup friction you might otherwise need to handle manually. What Happens When You Run azd up ? One of the most important questions is what azd up is actually doing. The short answer is that it combines provisioning and deployment into one workflow. The longer answer is where the learning value sits. When you run azd up , the tool looks at the project configuration, reads the infrastructure definition, determines which Azure resources need to exist, provisions them if necessary, and then deploys the application code to those resources. In many templates, it also works with environment settings and output values so that the project becomes reproducible rather than ad hoc. That matters because it teaches a more modern cloud habit. Instead of building infrastructure manually in the portal and then hoping you can remember how you did it, you define the deployment shape in source-controlled files. Even at beginner level, that is the right habit to learn. Understanding the Shape of an azd Project The Azure Developer CLI templates overview explains the standard project structure used by azd . If you understand this structure early, templates become much less mysterious. A typical azd project contains: azure.yaml to describe the project and map services to infrastructure targets. An infra folder containing Bicep or Terraform files for infrastructure as code. A src folder, or equivalent source folders, containing the application code that will be deployed. A local .azure folder to store environment-specific settings for the project. Here is a minimal example of what an azure.yaml file can look like in a simple app: name: beginner-web-app metadata: template: beginner-web-app services: web: project: ./src/web host: appservice This file is small, but it carries an important idea. azd needs a clear mapping between your application code and the Azure service that will host it. Once you see that, the tool becomes easier to reason about. You are not invoking magic. You are describing an application and its hosting model in a standard way. Start from a Template, Then Learn the Architecture Beginners often assume that using a template is somehow less serious than building something from scratch. In practice, it is usually the right place to begin. The official docs for templates and the Awesome AZD gallery both encourage developers to start from an existing architecture when it matches their goals. That is a sound learning strategy for two reasons. First, it lets you experience a working deployment quickly, which builds confidence. Second, it gives you a concrete project to inspect. You can look at azure.yaml , explore the infra folder, inspect the app source, and understand how the pieces connect. That teaches more than reading a command reference in isolation. The AZD for Beginners material also leans into this approach. It includes chapter guidance, templates, workshops, examples, and structured progression so that readers move from successful execution into understanding. That is much more useful than a single command demo. A practical beginner workflow looks like this: # Pick a known template azd init --template todo-nodejs-mongo # Review the files that were created or cloned # - azure.yaml # - infra/ # - src/ # Deploy it azd up # Open the deployed app details azd show Once that works, do not immediately jump to a different template. Spend time understanding what was deployed and why. Where AZD for Beginners Fits In The official docs are excellent for accurate command guidance and conceptual documentation. The AZD for Beginners repository adds something different: a curated learning path. It helps beginners answer questions such as these: Which chapter should I start with if I know Azure a little but not azd ? How do I move from a first deployment into understanding configuration and authentication? What changes when the application becomes an AI application rather than a simple web app? How do I troubleshoot failures instead of copying commands blindly? The repository also points learners towards workshops, examples, a command cheat sheet, FAQ material, and chapter-based exercises. That makes it particularly useful in teaching contexts. A lecturer or workshop facilitator can use it as a course backbone, while an individual learner can work through it as a self-study track. For developers interested in AI, the resource is especially timely because it shows how the same azd workflow can be used for AI-first solutions, including scenarios connected to Microsoft Foundry services and multi-agent architectures. The important beginner lesson is that the workflow stays recognisable even as the application becomes more advanced. Common Beginner Mistakes and How to Avoid Them A good introduction should not only explain the happy path. It should also point out the places where beginners usually get stuck. Skipping authentication checks. If azd auth login has not completed properly, later commands will fail in ways that are harder to interpret. Not verifying the installation. Run azd version immediately after install so you know the tool is available. Treating templates as black boxes. Always inspect azure.yaml and the infra folder so you understand what the project intends to provision. Forgetting cleanup. Learning environments cost money if you leave them running. Use azd down --force --purge when you are finished experimenting. Trying to customise too early. First get a known template working exactly as designed. Then change one thing at a time. If you do hit problems, the official troubleshooting documentation and the troubleshooting sections inside AZD for Beginners are the right next step. That is a much better habit than searching randomly for partial command snippets. How I Would Approach AZD as a New Learner If I were introducing azd to a student or a developer who is comfortable with code but new to Azure delivery, I would keep the learning path tight. Read the official What is Azure Developer CLI? overview so the purpose is clear. Install the tool using the Microsoft Learn install guide. Work through the opening sections of AZD for Beginners. Deploy one template with azd init and azd up . Inspect azure.yaml and the infrastructure files before making any changes. Run azd down --force --purge so the lifecycle becomes a habit. Only then move on to AI templates, configuration changes, or custom project conversion. That sequence keeps the cognitive load manageable. It gives you one successful deployment, one architecture to inspect, and one repeatable workflow to internalise before adding more complexity. Why azd Is Worth Learning Now azd matters because it reflects how modern Azure application delivery is actually done: repeatable infrastructure, source-controlled configuration, environment-aware workflows, and application-level thinking rather than isolated portal clicks. It is useful for straightforward web applications, but it becomes even more valuable as systems gain more services, more configuration, and more deployment complexity. That is also why the AZD for Beginners resource is worth recommending. It gives new learners a structured route into the tool instead of leaving them to piece together disconnected docs, samples, and videos on their own. Used alongside the official Microsoft Learn documentation, it gives you both accuracy and progression. Key Takeaways azd is an application-focused Azure deployment tool, not just another general-purpose CLI. The core beginner workflow is simple: install, authenticate, initialise, deploy, inspect, and clean up. Templates are not a shortcut to avoid learning. They are a practical way to learn architecture through working examples. AZD for Beginners is valuable because it turns the tool into a structured learning path. The official Microsoft Learn documentation for Azure Developer CLI should remain your grounding source for commands and platform guidance. Next Steps If you want to keep going, start with these resources: AZD for Beginners for the structured course, examples, and workshop materials. Azure Developer CLI documentation on Microsoft Learn for official command, workflow, and reference guidance. Install azd if you have not set up the tool yet. Deploy an azd template for the first full quickstart. Azure Developer CLI templates overview if you want to understand the project structure and template model. Awesome AZD if you want to browse starter architectures. If you are teaching others, this is also a good sequence for a workshop: start with the official overview, deploy one template, inspect the project structure, and then use AZD for Beginners as the path for deeper learning. That gives learners both an early win and a solid conceptual foundation.Announcing the IQ Series: Foundry IQ
AI agents are rapidly becoming a new way to build applications. But for agents to be truly useful, they need access to the knowledge and context that helps them reason about the world they operate in. That’s where Foundry IQ comes in. Today we’re announcing the IQ Series: Foundry IQ, a new set of developer-focused episodes exploring how to build knowledge-centric AI systems using Foundry IQ. The series focuses on the core ideas behind how modern AI systems work with knowledge, how they retrieve information, reason across sources, synthesize answers, and orchestrate multi-step interactions. Instead of treating retrieval as a single step in a pipeline, Foundry IQ approaches knowledge as something that AI systems actively work with throughout the reasoning process. The IQ Series breaks down these concepts and shows how they come together when building real AI applications. You can explore the series and all the accompanying samples here: 👉 https://aka.ms/iq-series What is Foundry IQ? Foundry IQ helps AI systems work with knowledge in a more structured and intentional way. Rather than wiring retrieval logic directly into every application, developers can define knowledge bases that connect to documents, data sources, and other information systems. AI agents can then query these knowledge bases to gather the context they need to generate responses, make decisions, or complete tasks. This model allows knowledge to be organized, reused, and combined across applications, instead of being rebuilt for each new scenario. What's covered in the IQ Series? The Foundry IQ episodes in the IQ Series explore the key building blocks behind knowledge-driven AI systems from how knowledge enters the system to how agents ultimately query and use it. The series is released as three weekly episodes: Foundry IQ: Unlocking Knowledge for Your Agents — March 18, 2026: Introduces Foundry IQ and the core ideas behind it. The episode explains how AI agents work with knowledge and walks through the main components of the Foundry IQ that support knowledge-driven applications. Foundry IQ: Building the Data Pipeline with Knowledge Sources — March 25, 2026: Focuses on Knowledge Sources and how different types of content flow into Foundry IQ. It explores how systems such as SharePoint, Fabric, OneLake, Azure Blob Storage, Azure AI Search, and the web contribute information that AI systems can later retrieve and use. Foundry IQ: Querying the Multi-Source AI Knowledge Bases — April 1, 2026: Dives into the Knowledge Bases and how multiple knowledge sources can be organized behind a single endpoint. The episode demonstrates how AI systems query across these sources and synthesize information to answer complex questions. Each episode includes a short executive introduction, a tech talk exploring the topic in depth, and a visual recap with doodle summaries of the key ideas. Alongside the episodes, the GitHub repository provides cookbooks with sample code, summary of the episodes, and additinal learning resources, so developers can explore the concepts and apply them in their own projects. Explore the Repo All episodes and supporting materials live in the IQ Series repository: 👉 https://aka.ms/iq-series Inside the repository you’ll find: The Foundry IQ episode links Cookbooks for each episode Links to documentation and additional resources If you're building AI agents or exploring how AI systems can work with knowledge, the IQ Series is a great place to start. Watch the episodes and explore the cookbooks! We’re excited to see what you build and welcome your feedback & ideas as the series evolves.Agents League: Two Weeks, Three Tracks, One Challenge
We're inviting all developers to join Agents League, running February 16-27. It's a two-week challenge where you'll build AI agents using production-ready tools, learn from live coding sessions, and get feedback directly from Microsoft product teams. We've put together starter kits for each track to help you get up and running quickly that also includes requirements and guidelines. Whether you want to explore what GitHub Copilot can do beyond autocomplete, build reasoning agents on Microsoft Foundry, or create enterprise integrations for Microsoft 365 Copilot, we have a track for you. Important: Register first to be eligible for prizes and your digital badge. Without registration, you won't qualify for awards or receive a badge when you submit. What Is Agents League? It's a 2-week competition that combines learning with building: 📽️ Live coding battles – Watch Product teams, MVPs and community members tackle challenges in real-time on Microsoft Reactor 💻 Async challenges – Build at your own pace, on your schedule 💬 Discord community – Connect with other participants, join AMAs, and get help when you need it 🏆 Prizes – $500 per track winner, plus GitHub Copilot Pro subscriptions for top picks The Three Tracks 🎨 Creative Apps — Build with GitHub Copilot (Chat, CLI, or SDK) 🧠 Reasoning Agents — Build with Microsoft Foundry 💼 Enterprise Agents — Build with M365 Agents Toolkit (or Copilot Studio) More details on each track below, or jump straight to the starter kits. The Schedule Agents League starts on February 16th and runs through Feburary 27th. Within 2 weeks, we host live battles on Reactor and AMA sessions on Discord. Week 1: Live Battles (Feb 17-19) We're kicking off with live coding battles streamed on Microsoft Reactor. Watch experienced developers compete in real-time, explaining their approach and architectural decisions as they go. Tue Feb 17, 9 AM PT — 🎨 Creative Apps battle Wed Feb 18, 9 AM PT — 🧠 Reasoning Agents battle Thu Feb 19, 9 AM PT — 💼 Enterprise Agents battle All sessions are recorded, so you can watch on your own schedule. Week 2: Build + AMAs (Feb 24-26) This is your time to build and ask questions on Discord. The async format means you work when it suits you, evenings, weekends, whatever fits your schedule. We're also hosting AMAs on Discord where you can ask questions directly to Microsoft experts and product teams: Tue Feb 24, 9 AM PT — 🎨 Creative Apps AMA Wed Feb 25, 9 AM PT — 🧠 Reasoning Agents AMA Thu Feb 26, 9 AM PT — 💼 Enterprise Agents AMA Bring your questions, get help when you're stuck, and share what you're building with the community. Pick Your Track We've created a starter kit for each track with setup guides, project ideas, and example scenarios to help you get started quickly. 🎨 Creative Apps Tool: GitHub Copilot (Chat, CLI, or SDK) Build innovative, imaginative applications that showcase the potential of AI-assisted development. All application types are welcome, web apps, CLI tools, games, mobile apps, desktop applications, and more. The starter kit walks you through GitHub Copilot's different modes and provides prompting tips to get the best results. View the Creative Apps starter kit. 🧠 Reasoning Agents Tool: Microsoft Foundry (UI or SDK) and/or Microsoft Agent Framework Build a multi-agent system that leverages advanced reasoning capabilities to solve complex problems. This track focuses on agents that can plan, reason through multi-step problems, and collaborate. The starter kit includes architecture patterns, reasoning strategies (planner-executor, critic/verifier, self-reflection), and integration guides for tools and MCP servers. View the Reasoning Agents starter kit. 💼 Enterprise Agents Tool: M365 Agents Toolkit or Copilot Studio Create intelligent agents that extend Microsoft 365 Copilot to address real-world enterprise scenarios. Your agent must work on Microsoft 365 Copilot Chat. Bonus points for: MCP server integration, OAuth security, Adaptive Cards UI, connected agents (multi-agent architecture). View the Enterprise Agents starter kit. Prizes & Recognition To be eligible for prizes and your digital badge, you must register before submitting your project. Category Winners ($500 each): 🎨 Creative Apps winner 🧠 Reasoning Agents winner 💼 Enterprise Agents winner GitHub Copilot Pro subscriptions: Community Favorite (voted by participants on Discord) Product Team Picks (selected by Microsoft product teams) Everyone who registers and submits a project wins: A digital badge to showcase their participation. Beyond the prizes, every participant gets feedback from the teams who built these tools, a valuable opportunity to learn and improve your approach to AI agent development. How to Get Started Register first — This is required to be eligible for prizes and to receive your digital badge. Without registration, your submission won't qualify for awards or a badge. Pick a track — Choose one track. Explore the starter kits to help you decide. Watch the battles — See how experienced developers approach these challenges. Great for learning even if you're still deciding whether to compete. Build your project — You have until Feb 27. Work on your own schedule. Submit via GitHub — Open an issue using the project submission template. Join us on Discord — Get help, share your progress, and vote for your favorite projects on Discord. Links Register: https://aka.ms/agentsleague/register Starter Kits: https://github.com/microsoft/agentsleague/starter-kits Discord: https://aka.ms/agentsleague/discord Live Battles: https://aka.ms/agentsleague/battles Submit Project: Project submission templateRethinking Documentation Translation: Treating Translations as Versioned Software Assets
Rethinking Documentation Translation: Treating Translations as Versioned Software Assets This article is written from the perspective of maintaining large, open-source documentation repositories in the Microsoft ecosystem. I am the maintainer of Co-op Translator, an open-source tool for automating multilingual documentation translation, used across multiple large documentation repositories, including Microsoft’s For Beginners series. In large documentation repositories, translation problems rarely fail loudly. They fail quietly, and they accumulate over time. Recently, we made a fundamental design decision in how Co-op Translator handles translations. Translations are treated as versioned software assets, not static outputs. This article explains why we reached that conclusion, and what this perspective enables for teams maintaining large, fast-moving documentation repositories. When translations quietly become a liability In most documentation projects, translations are treated as finished outputs. Once a file is translated, it is assumed to remain valid until someone explicitly notices a problem. But documentation rarely stands still. Text changes. Code examples evolve. Screenshots are replaced. Notebooks are updated to reflect new behavior. The problem is that these changes are often invisible in translated content. A translation may still read fluently, while the information it contains is already out of date. At that point, the issue is no longer about translation quality. It becomes a maintenance problem. Reframing the question Most translation workflows implicitly ask: Is this translation correct? In practice, maintainers struggle with a different question: Is this translation still synchronized with the current source? This distinction matters. A translation can be correct and still be out of sync. Once we acknowledged this, it became clear that treating translations as static content was no longer sufficient. The design decision: translations as versioned assets Starting with Co-op Translator 0.16.2, we made a deliberate design decision: Translations are treated as versioned software assets. This applies not only to Markdown files, but also to images, notebooks, and any other translated artifacts. Translated content is not just text. It is an artifact generated from a specific version of a source. To make this abstraction operational rather than theoretical, we did not invent a new mechanism. Instead, we looked to systems that already solve a similar problem: pip, poetry, and npm. These tools are designed to track artifacts as their sources evolve. We applied the same thinking to translated content. Closer to dependency management than translation jobs The closest analogy is software dependency management. When a dependency becomes outdated: it is not suddenly “wrong,” it is simply no longer aligned with the current version. Translations behave the same way. When the source document changes: the translated file does not immediately become incorrect, it becomes out of sync with its source version. This framing shifts the problem away from translation output and toward state and synchronization. Why file-level versioning matters Many translation systems operate at the string or segment level. That model works well for UI text and relatively stable resources. Documentation is different. A Markdown file is an artifact. A screenshot is an artifact. A notebook is an artifact. They are consumed as units, not as isolated strings. Managing translation state at the file level allows maintainers to reason about translations using the same mental model they already apply to other repository assets. What changed in practice From embedded markers to explicit state Previously, translation metadata lived inside translated files as embedded comments or markers. This approach had clear limitations: translation state was fragmented, difficult to inspect globally, and easy to miss as repositories grew. We moved to language-scoped JSON state files that explicitly track: the source version, the translated artifact, and its synchronization status. Translation state is no longer hidden inside content. It is a first-class, inspectable part of the repository. Extending the model to images and notebooks The same model now applies consistently to: translated images, localized notebooks, and other non-text artifacts. If an image changes in the source language, the translated image becomes out of sync. If a notebook is updated, its translated versions are evaluated against the new source version. The format does not matter. The lifecycle does. Once translations are treated as versioned assets, the system remains consistent across all content types. What this enables This design enables: Explicit drift detection See which translations are out of sync without guessing. Consistent maintenance signals Text, images, and notebooks follow the same rules. Clear responsibility boundaries The system reports state. Humans decide action. Scalability for fast-moving repositories Translation maintenance becomes observable, not reactive. In large documentation sets, this difference determines whether translation maintenance is sustainable at all. What this is not This system does not: judge translation quality, determine semantic correctness, or auto-approve content. It answers one question only: Is this translated artifact synchronized with its source version? Who this is for This approach is designed for teams that: maintain multilingual documentation, update content frequently, and need confidence in what is actually up to date. When documentation evolves faster than translations, treating translations as versioned assets becomes a necessity, not an optimization. Closing thought Once translations are modeled as software assets, long-standing ambiguities disappear. State becomes visible. Maintenance becomes manageable. And translations fit naturally into existing software workflows. At that point, the question is no longer whether translation drift exists, but: Can you see it? Reference Co-op Translator repository https://github.com/Azure/co-op-translatorLeverage AI for faster, more productive coding with GitHub Copilot
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