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Microsoft Foundry Agent Service vs Orchestrator Zero

oz0 records agent jobs running on your infrastructure. Foundry hosts agents on Azure alongside Entra and Microsoft 365. oz0 provides a control plane you host, outbound-only nodes on your machines and access to local and cloud models.

What Microsoft Foundry Agent Service is

Microsoft Foundry Agent Service is Microsoft's managed platform for agents on Azure. Prompt agents are defined by instructions, a model and tools and run without code; hosted agents are your own containers, which Foundry runs in a sandbox per session with an Entra identity per agent. Published agents can be shared in Teams and Microsoft 365 Copilot.

learn.microsoft.com
Runs
Managed service
Checked
27 October 2026

Side by side.

Microsoft Foundry Agent Service's ratings come from its own pages. A column's name opens its definition and how Orchestrator Zero does it. How we rated

Where it runs

Any machine you own

Yes

Docs

Conditional: Microsoft hosts the agents

Hosted agents run on Microsoft-managed infrastructure; you do not choose the machines they run on.

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Linux, macOS and Windows

Yes

Native; hosted-runner tested

Docs

No: Microsoft cloud only

Hosted agents are container images that Agent Service runs on Microsoft-managed infrastructure; nothing runs on your own Linux, macOS or Windows machines.

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Self-hosted control plane

Yes

Docs

No: Managed Azure service

Foundry Agent Service is a managed Azure service; there is no control plane to run yourself.

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No inbound ports

Yes

Docs

No: Platform calls the container

The platform routes each request to your container, so the container has to accept inbound calls.

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Fleet operations

Yes

Docs

No: Microsoft-managed compute

The platform provisions and removes compute itself; there are no machines of yours to join, label, route to or block.

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Durability

Durable runs

Conditional

Depends on agent type

Docs

Conditional: Preview, handler restarts

Resilience for long-running hosted agents is a preview, and recovery runs the handler again from the start, using your own checkpoints, with no deterministic replay.

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Governance

Tool policy outside the model

Conditional

Harness coverage varies

Docs

Conditional: Per-agent MCP lists

Each agent's MCP tool takes an allowed_tools list and a require_approval setting per tool, enforced for prompt agents; hosted agents enforce approval in their own code, and there are no admin rules across agents.

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Approvals in chat

Conditional

Tested against stand-ins only

Docs

Conditional: API only, no chat approvals

A tool that needs approval returns an approval request and your client sends the answer back through the API; deciding in Teams or another chat app is not documented.

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Tool snapshots

Yes

Docs

Conditional: Toolbox versions; manual review

Foundry Toolboxes support versioned endpoints and promotion of a default version. Remote MCP changes still need your review; automatic blocking of changed tool descriptions or schemas is not documented.

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Tenants built in

Yes

Docs

Conditional: Tenants defined by your app

Sessions can be isolated per user, and per tenant's users, but tenants are something your app defines.

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Cost

Budgets that stop a run

Yes

Set strict reservation

Docs

Conditional: Token quotas, no run budget

Token quotas can be set per project, but there is no spend limit in money that stops a run.

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Security

Provider keys off the workers

Yes

Docs

Conditional: Entra identity, no static key

Hosted agents call Foundry models with their own Entra agent identity, so no provider key sits in the container, but the runtime holds those credentials; models behind your own gateway are reached through a project connection.

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Sandbox with an egress allowlist

Conditional

Linux/macOS; Windows tier 0

Docs

Conditional: No egress, or via your VNet

Code Interpreter runs in Hyper-V isolated sessions with no outbound network, and hosted agents run in VM-isolated sandboxes; keeping their egress to listed hosts takes your own VNet and firewall.

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Audit and compliance

Tamper-evident audit trail

Yes

Keep trusted chain heads

Docs

Conditional: Audit log, no integrity proof

Purview's unified audit log records prompts and responses for Foundry agents, but Microsoft documents no hash chain or signature to verify it, and the AI gateway does not log tool traces.

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Erasure by key

Yes

Restore with erasure ledger

Docs

Conditional: Per-user delete, no own keys

Purview eDiscovery can find and delete one user's AI interaction data, but no encryption key per person is documented.

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Retention with legal hold

Conditional

Capture needs source data

Docs

Yes: Purview, pay-as-you-go

Purview retention policies keep or delete Foundry prompts and responses for a period you set, and eDiscovery holds stop their deletion; managing Foundry interactions in Purview needs pay-as-you-go billing.

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Openness

Model provider choice

Yes

Docs

Yes: Catalog or your own gateway

Agents use Azure OpenAI and other vendors' models from the Foundry catalog, such as DeepSeek, Grok, Llama and Mistral, and models behind your own API Management or other gateway, which can front self-hosted models.

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MCP and A2A

Yes

Docs

Yes

Agents use remote MCP servers and toolboxes over MCP, and Agent Service supports A2A v1.0 for agent-to-agent calls.

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Where Microsoft Foundry Agent Service is stronger.

  • Agents in Teams and Copilot

    Published agents appear in Microsoft Teams and Microsoft 365 Copilot for the people in your tenant; Orchestrator Zero has a Teams plugin, tested only against a stand-in so far, and nothing for Microsoft 365 Copilot.

    learn.microsoft.com
  • An Entra identity per agent

    Each agent gets its own Microsoft Entra identity under Azure RBAC.

    learn.microsoft.com
  • Purview compliance tools

    Purview brings retention, eDiscovery, data loss prevention and insider risk management to agent prompts and responses, using the same tools as the rest of Microsoft 365.

    learn.microsoft.com
  • Agents without code

    Prompt agents are configured in the portal from instructions, a model and tools, and Foundry runs them with no code or containers to manage.

    learn.microsoft.com

Full in Microsoft Foundry Agent Service, partial in oz0: Retention with legal hold.

Differences to examine.

Compare the scope, conditions and editions in the source notes.

Using both

A Foundry agent can call an Orchestrator Zero agent as an A2A agent or as an MCP tool, since every Orchestrator Zero agent is both, for example to run work on machines you own.

Based on documentation; this pairing has not been tested.