Microsoft Build 2025: The age of AI agents and building the open agentic web - The Official Microsoft Blog

Microsoft Build 2025: The age of AI agents and building the open agentic web

May 19, 2025 | Frank X. Shaw - Chief Communications Officer, Microsoft

An image with Microsoft Build in the lower left corner, a dark red background that becomes pixelated and lighter toward the right side and images of triangular tubes on the right side.

TL;DR? Hear the news as an AI-generated audio overview made using Microsoft 365 Copilot. You can read the transcripthere.

https://msblogs.thesourcemediaassets.com/2025/05/Build2025_OMB_AI-generated_AudioOverview_Final.mp3

We’ve entered the era of AI agents. Thanks to groundbreaking advancements in reasoning and memory, AI models are now more capable and efficient, and we’re seeing how AI systems can help us all solve problems in new ways.

For example, 15 million developers are already using GitHub Copilot, and features like agent mode and code review are streamlining the way they code, check, deploy and troubleshoot.

Hundreds of thousands of customers are using Microsoft 365 Copilot to help research, brainstorm and develop solutions, and more than 230,000 organizations — including 90% of the Fortune 500 — have already used Copilot Studio to build AI agents and automations.

Companies like Fujitsu and NTT DATA are using Azure AI Foundry to build and manage AI apps and agents that help prioritize sales leads, speed proposal creation and surface client insights. Stanford Health Care is using Microsoft’s healthcare agent orchestrator to build and test AI agents that can help alleviate the administrative burden and speed up the workflow for tumor board preparation.

Developers are at the center of it all. For 50 years Microsoft has been empowering developers with tools and platforms to turn their ideas into reality, accelerating innovation at every stage. From AI-driven automation to seamless cloud integration and more, it’s exciting to see how developers are fueling the next generation of digital transformation.

So, what’s next?

We envision a world in which agents operate across individual, organizational, team and end-to-end business contexts. This emerging vision of the internet is an open agentic web , where AI agents make decisions and perform tasks on behalf of users or organizations.

At Microsoft Build we’re showing the steps we’re taking to make this vision a reality through our platforms, products and infrastructure. We’re putting new models and coding agents in the hands of developers, introducing enterprise-grade agents, making our platforms like Azure AI Foundry, GitHub and Windows the best places to build, embracing open protocols and accelerating scientific discovery with AI, all so that developers and organizations can go invent the next big thing.

Here’s a glimpse at just a few of the announcements today:

Reimagining the software development lifecycle with AI

AI is fundamentally shifting how code is written, deployed and maintained. Developers are using AI to stay in the flow of their environment longer and to shift their focus to more strategic tasks. And as the software development lifecycle is being transformed, we’re providing new features across platforms including GitHub, Azure AI Foundry and Windows that enable developers to work faster, think bigger and build at scale.

GitHub Copilot coding agent and new updates to GitHub Models: GitHub Copilot is evolving from an in-editor assistant to an agentic AI partner with a first-of-its-kind asynchronous coding agent integrated into the GitHub platform. We’re adding prompt management, lightweight evaluations and enterprise controls to GitHub Models so teams can experiment with best-in-class models, without leaving GitHub. Microsoft is also open-sourcing GitHub Copilot Chat in VS Code. The AI-powered capabilities from GitHub Copilot extensions will now be part of the same open-source repository that drives the world’s most popular development tool. As the home of over 150 million developers, this reinforces our commitment to open, collaborative, AI-powered software development. Learn more about GitHub Copilot updates.
Introducing Windows AI Foundry : For developers, Windows remains one of the most open and widely used platforms available, with scale, flexibility and growing opportunity. Windows AI Foundry offers a unified and reliable platform supporting the AI developer lifecycle across training and inference. With simple model APIs for vision and language tasks, developers can manage and run open source LLMs via Foundry Local or bring a proprietary model to convert, fine-tune and deploy across client and cloud. Windows AI Foundry is available to get started today. To learn more visit our Windows Developer Blog.
Azure AI Foundry Models and new tools for model evaluation: Azure AI Foundry is a unified platform for developers to design, customize and manage AI applications and agents. With Azure AI Foundry Models, we’re bringing Grok 3 and Grok 3 mini models from xAI to our ecosystem, hosted and billed directly by Microsoft. Developers can now choose from more than 1,900 partner-hosted and Microsoft-hosted AI models, while managing secure data integration, model customization and enterprise-grade governance. We’re also introducing new tools like the Model Leaderboard, which ranks the top-performing AI models across different categories and tasks, and the Model Router, designed to select an optimal model for a specific query or task in real-time. Read more about Azure AI Foundry Models.

Making AI agents more capable and secure

AI agents are not only changing how developers build, but how individuals, teams and companies get work done. At Build, we’re unveiling new pre-built agents, custom agent building blocks, multi-agent capabilities and new models to help developers and organizations build and deploy agents securely to help increase productivity in meaningful ways.

With the general availability ofAzure AI Foundry Agent Service, Microsoft is bringing new capabilities to empower professional developers to orchestrate multiple specialized agents to handle complex tasks, including bringing Semantic Kernel and AutoGen into a single, developer-focused SDK and Agent-to-Agent (A2A) and Model Context Protocol (MCP) support. To help developers build trust and confidence in their AI agents, we’re announcing new features in Azure AI Foundry Observability for built-in observability into metrics for performance, quality, cost and safety, all incorporated alongside detailed tracing in a streamlined dashboard. Learn more about how to deploy enterprise-grade AI agents in Azure AI Foundry Service.
Discover, protect and govern in Azure AI Foundry: With Microsoft Entra Agent ID, now in preview, agents that developers create in Microsoft Copilot Studio or Azure AI Foundry are automatically assigned unique identities in an Entra directory, helping enterprises securely manage agents right from the start and avoid “agent sprawl” that could lead to blind spots. Apps and agents built with Foundry further benefit from Purview data security and compliance controls. Foundry also offers enhanced governance tools to set risk parameters, run automated evaluations and receive detailed reports. Learn more about Microsoft Entra Agent ID and Azure AI Foundry integrations with Microsoft Purview Compliance Manager.
Introducing Microsoft 365 Copilot Tuning and multi-agent orchestration: With Copilot Tuning , customers can use their own company data, workflows and processes to train models and create agents in a simple, low-code way. These agents perform highly accurate, domain-specific tasks securely from within the Microsoft 365 service boundary. For example, a law firm can create an agent that generates documents aligned with its organization’s expertise and style. Additionally, new multi-agent orchestration in Copilot Studio connects multiple agents, allowing them to combine skills and tackle broader, more complex tasks. Check out the Microsoft 365 blog to learn how to access these new tools as well as the Microsoft 365 Copilot Wave 2 spring release, which has moved to general availability and begins rolling out today.

Supporting the open agentic web

To realize the future of AI agents, we’re advancing open standards and shared infrastructure to provide unique capabilities for customers.

Supporting Model Context Protocol (MCP): Microsoft is delivering broad first-party support for Model Context Protocol (MCP) across its agent platform and frameworks, spanning GitHub, Copilot Studio, Dynamics 365, Azure AI Foundry, Semantic Kernel and Windows 11. In addition, Microsoft and GitHub have joined the MCP Steering Committee to help advance secure, at-scale adoption of the open protocol and announced two new contributions to the MCP ecosystem, an updated authorization specification , which enables people to use their existing trusted sign-in methods to give agents and LLM-powered apps access to data and services such as personal storage drives or subscription services, and the design of an MCP server registry service , which allows anyone to implement public or private, up-to-date, centralized repositories for MCP server entries. Check out the GitHub repository. As we expand our MCP capabilities, our top priority is to ensure we’re building upon a secure foundation. To learn more about this approach see: Securing the Model Context Protocol: Building a Safe Agentic Future on Windows.
A new open project called NLWeb: Microsoft is introducing NLWeb, which we believe can play a similar role to HTML for the agentic web. NLWeb makes it easy for websites to provide a conversational interface for their users with the model of their choice and their own data, allowing users to interact directly with web content in a rich, semantic manner. Every NLWeb endpoint is also an MCP server, so websites can make their content easily discoverable and accessible to AI agents if they choose. Learn more here.

Accelerating scientific discovery with AI

Science may be one of the most important applications of AI, helping to tackle humanity’s most pressing challenges, from drug discovery to sustainability. At Build we’re introducing Microsoft Discovery, an extensible platform built to empower researchers to transform the entire discovery process with agentic AI, helping research and development departments across various industries accelerate the time to market for new products and accelerate and expand the end-to-end discovery process for all scientists. Learn more here.

This is only a small selection of the many exciting features and updates we will be announcing at Build. We’re looking forward to connecting with those who have registered to join us virtually and in-person, for keynote sessions, live code deep dives, hack sessions and more — much of which will be available on demand.

Plus, you can get more on all these announcements by exploring the Book of News, the official compendium of all today’s news.

Tags: AI, Azure AI, Azure AI Foundry, Book of News, GitHub, GitHub Copilot, Microsoft 365 Copilot, Microsoft Copilot, Microsoft Purview