The Azure Developer CLI (azd) now supports running and testing AI agents locally via two new commands in the azure.ai.agents extension (v0.1.14-preview). `azd ai agent run` starts an agent locally with automatic dependency detection for Python, Node.js, and other project types. `azd ai agent invoke` sends messages to either a local or remote Azure AI Foundry agent endpoint. Session identifiers persist across invocations for multi-turn conversations, keeping the entire development loop in the terminal without needing to switch to a cloud portal.

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