Build local-first AI agents that run entirely on a developer workstation with Microsoft Foundry Local and Qwen function-calling models. Covers Small Language Models (SLMs), the OpenAI-compatible local endpoint, sandboxed local tools, local RAG with Chroma, local MCP servers, hybrid cloud/local routing, and the privacy/cost/offline trade-offs. Based on Lesson 17 of AI Agents for Beginners. USE FOR: run an agent locally, offline agent, on-device agent, Foundry Local, Qwen function calling, local tool calling, local RAG, Chroma vector database, local MCP server, privacy-preserving agent, hybrid local and cloud agent, small language model agent, engineering assistant on my machine. DO NOT USE FOR: deploying agents to the cloud at scale (use deploying-scalable-agents / Lesson 16), building your first agent concept (Lesson 01), Foundry (cloud) hosted agents, GPU cluster / server-side inference provisioning.
How to install local-ai-agents?
microsoft/ai-agents-for-beginners/local-ai-agents
$npx -y skills add microsoft/ai-agents-for-beginners --skill local-ai-agentsInstalls into the current project.
›Prefer a prompt? Paste this to your agent
Run `npx skills use "https://github.com/microsoft/ai-agents-for-beginners" --skill "microsoft/ai-agents-for-beginners/local-ai-agents"` and follow the generated skill instructions now. Read its complete output, redirecting it to a temporary file first if necessary. Resolve relative paths from the supporting-files directory it provides.
Use the skills in "https://github.com/microsoft/ai-agents-for-beginners" that are relevant to the current task. Run `npx skills add "https://github.com/microsoft/ai-agents-for-beginners"` and select the relevant skills, then follow their instructions.
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