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Toolboxes in Foundry: Build, Search and Govern Your Tools | LIVE163

Microsoft Developer (Build) · Jun 05, 2026 · Product Launches

Microsoft Foundry's Toolbox addresses authentication, tool sprawl, and governance as agent tool usage scales.

“the token usage context window got blown up really easily and quickly”

At Microsoft Build, Foundry PM Linda and engineering manager Atul introduced Foundry Toolbox, a feature for building, searching, and governing the tools that agents call. It targets three pain points that emerge as agents connect to dozens of tools across OpenAPI, MCP, and A2A protocols: inconsistent authentication, context-window bloat from exposing unneeded tool definitions, and the manual custom code required to enforce governance policies. It matters because tool management is becoming a core bottleneck for scaling production agent deployments.

microsoft-foundry agent-tools mcp governance

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