Microsoft Foundry Observability: How to Trace, Evaluate, Monitor, and Secure AI Agents

The green check that hid a real problem During a recent customer conversation, I was shown a customer-service refund agent that looked healthy by every traditional measure. Requests completed successfully. The endpoint returned HTTP 200. Latency was within the team's target, and there were no obvious exceptions in the application logs. Then a customer asked a simple thing: Please refund the duplicate $500 charge on invoice 83457. The agent processed the refund and confirmed success. There was only one problem: in the failure case explored in this article, the agent calls the correct tool with