Microsoft's February 2026 Foundry update includes broader platform changes, but the most immediate developer-facing news for VS Code users is an AI Toolkit refresh centered on tool discovery, agent ...

Microsoft's AI Toolkit extension for VS Code now lets developers scaffold a working MCP server in minutes. Here's what that looks like in practice -- including the parts that don't work, and a simpler ...

The Copilot Studio extension lets developers use any VS Code-compatible AI assistant to develop AI agents, then sync with Copilot Studio for testing and iteration. Microsoft is offering a Microsoft ...