1# azd Setup
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3Use this before running Agent Optimizer operations. This skill targets agent code repos that use azd and hosted agents.
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5## Verify prerequisites
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7Run from the selected agent repo:
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9```bash
10azd version
11az login
12azd ai agent --help
13azd ai agent optimize --help
14```
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16If `azd ai agent` is unavailable, install or update the `azure.ai.agents` azd extension using the official extension source. If the needed version is private preview only, ask the user for their approved extension source; do not embed private registry commands.
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18## Resolve hosted-agent context
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20Use [Common Project Context Resolution](../../../SKILL.md#agent-common-project-context-resolution). Prefer azd context from `azure.yaml` and `azd env get-values`.
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22Confirm:
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24- selected service uses `host: azure.ai.agent`
25- selected root contains Python agent code
26- agent kind is `hosted`
27- project endpoint/project ID and deployed agent name/version are known
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29If `agent.yaml` is missing, ask before initializing:
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31```bash
32azd ai agent init --project-id <project-id>
33```
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35Use the project ID from azd context when available; otherwise ask the user. After init, stop for review of generated `agent.yaml`.
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