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When Kevin Scott, Microsoft’s CTO, took the stage ahead of the annual Build developer conference in Seattle, his remarks clearly set the trajectory for a new era in how artificial intelligence helpers—often called “agents”—will interact. While the public is already adjusting to the presence of AI in everything from web search to operating systems, Scott’s vision reaches further: he imagines a future where AI assistants from competing companies not only coexist but can actively collaborate, remember prior interactions, and build upon them. This collaborative, evolving landscape forms what he terms the “agentic web”—and it’s more than just technical jargon. It’s a significant shift in both strategy and philosophy for Big Tech, with profound implications for users, developers, and the entire digital ecosystem.

A digital network of interconnected user profiles and data visualizations glowing over a cityscape at sunset.
AI Agents: The New Layer of Digital Assistance​

Artificial intelligence agents—sometimes labeled AI helpers or copilots—are autonomous digital entities designed to perform specific tasks on a user’s behalf. While some are familiar in the guise of chatbots handling customer queries or virtual assistants managing appointments, the ambitions now extend to much higher levels of autonomy. Imagine agents capable of squashing software bugs, co-authoring documents, optimizing networks, or even negotiating on your behalf for digital services—all without direct step-by-step instructions.
The hitch? Currently, each company’s agent is siloed. Google’s agents mostly work with Google services, OpenAI’s with their own API ecosystem, and Microsoft’s Copilot excels within Windows and Microsoft 365. This closed-ecosystem approach stifles the broader utility AI can offer; if you want to coordinate, you’re forced to glue the parts together manually, if at all possible.

A Call For Open Standards​

It’s against this backdrop that Microsoft is now pushing for open standards—shared blueprints that allow these AI agents to communicate and cooperate, regardless of who built them. Specifically, Microsoft is supporting a protocol known as the Model Context Protocol (MCP), an open-source framework first developed by Anthropic and now backed by Google.
Just as HTTP and TCP/IP unlocked the collaborative potential of the World Wide Web in the 1990s, MCP is aiming to become the plumbing for tomorrow’s agentic web. As Scott noted, this isn’t just about technology; it’s about democratizing the future—the protocol is designed so that anyone’s ideas and innovations can participate in shaping how AI agents interact.

Model Context Protocol: Bridging Rival Silos​

The MCP is engineered to allow AI agents to share the “context” of a user’s ongoing goals, permissions, and past interactions across different platforms. For instance, a productivity agent from one vendor could request help from another agent specializing in data analytics, passing relevant context securely so the user doesn’t have to repeat information or manually connect the dots.
Independent reports and technical summaries confirm that MCP is a direct response to the risk of balkanized AI ecosystems. According to Anthropic’s technical documents and confirmations from third-party analysts, MCP is structured to ensure privacy, user control, and interoperability. Google’s public statements further corroborate their interest in supporting standards that break down barriers between proprietary AI agents.

Why Memory Matters: The Transactional AI Trap​

One critical flaw in today’s AI assistants is their “transactional” nature—each interaction is largely stateless. If you ask your AI helper to handle a task today, and return tomorrow with a follow-up, there’s a good chance the agent won’t remember your prior history. As anyone who has tried to carry on a multi-step project with a digital assistant knows, this shortcoming quickly limits usefulness.
Scott drew a parallel to human cognition: we don’t recall every detail, but we do retain relevant highlights that help us solve future problems. Yet, for AI, this kind of lasting, meaningful memory comes with real technological and economic trade-offs. Storing and accessing vast conversational histories, with enough granularity to be helpful but enough abstraction to be efficient, rapidly increases the need for compute power and expensive, large-scale storage.

Structured Retrieval Augmentation: A Path Forward​

To combat these constraints, Microsoft is developing a technology called structured retrieval augmentation. In essence, this method has the AI agent extract concise, semantically-rich nuggets from each turn of the conversation. These are then stitched into a roadmap—a compact, structured outline of what’s been asked, answered, and resolved.
Preliminary internal reports from Microsoft’s research divisionand academic collaborators suggest this approach not only reduces hardware costs but also builds a more robust “working memory” for the agent. Importantly, this strategy introduces some of the same selective recall humans rely on, supporting both efficiency and relevance.
While this method shows significant promise, industry experts also flag potential risks. For instance, the act of selectively summarizing conversations means some nuance or detail may be inadvertently discarded, impacting the agent’s subsequent performance on complex tasks. Furthermore, as Scott acknowledges, even this memory-light approach still places a non-trivial burden on computational infrastructure.

The Broader Landscape: Risks and Real-World Hurdles​

The vision sketched by Microsoft—a world of interoperable, memory-enhanced AI agents—sounds compelling. However, several significant hurdles remain, both technical and societal.

Balancing Privacy, Security, and Utility​

Whenever agents exchange context or summarize conversations, questions around data privacy and security emerge. Even if protocols like MCP are open-source and auditable, real-world deployments will depend on implementations that adhere to strict privacy-by-design principles. Microsoft, Anthropic, and Google all claim rigorous precautions, but independent audits remain sparse.
A scenario where agents from different companies retrieve summarized “roadmaps” of your digital behavior may turbocharge productivity but could equally open new privacy risks if not transparently governed. As several privacy advocates have observed recently, effective oversight and robust default settings are crucial; otherwise, users may unwittingly grant sweeping permissions to third-party AIs.

The Economics of Intelligence at Scale​

Improving agent memory through structured summaries, as Microsoft proposes, still doesn’t eliminate the cost issue. While less intensive than wholesale logs, even lightweight context storage and retrieval can become expensive when supporting millions or billions of users. Industry-wide, operators will need to find business models that support such features without passing unsustainable costs to end users—especially as regulatory requirements around data retention and explainability grow.

Interoperability and Competition​

Perhaps the thorniest challenge is aligning rivals around shared standards. While Microsoft, Google, and Anthropic are publicly supportive of MCP, some large players remain conspicuously absent from the discussion. Apple, Amazon, Meta, and OpenAI have yet to make substantial public commitments to such interoperability. Unless these and other major vendors participate, the dream of a truly “agentic web” risks stalling at the concept stage.
Experts point to past efforts in the instant messaging and social networking realms as cautionary tales; despite early promises of federation and open APIs, most platforms eventually re-segregated to protect user lock-in and data assets. Whether AI shakes out differently is an open question.

Potential for Emergent Collective Intelligence​

On the other hand, if the MCP vision succeeds, it could lay the groundwork for something much greater than today’s personal assistants. Interlinked AI agents, each specializing in unique domains but able to cooperate, could form a kind of emergent collective intelligence—one that helps businesses, communities, and individuals tackle complex, multi-disciplinary problems that no single agent (or company) could handle alone.
Industry watchers highlight this as a double-edged sword. While the productivity and creativity gains could be enormous, so too is the possibility that opaque, poorly-audited webs of AI collaboration could lead to novel forms of misuse or unintended consequences, from privacy breaches to automated collusion and error propagation.

Microsoft Copilot as an Early Testbed​

Microsoft’s own Copilot, now integrated directly into Windows 11’s File Explorer, offers a concrete preview of how memory and interoperability features might evolve in mainstream products. Users can invoke Copilot to perform context-aware searches, automate repetitive file management tasks, and even suggest next actions based on prior usage patterns.
Reports from the Windows development team and third-party testers confirm Copilot’s early memory features—such as remembering recently opened files or recurring file operations—help fill the gap between stateless commands and genuine digital assistance. However, current capabilities remain limited primarily to the local Windows environment.
The next logical step, as outlined at Build, is for Copilot to federate tasks and context with agents running on other platforms, such as email assistants, cloud-based AI for document management, or even third-party device controllers. When and how these integrations arrive will be a key bellwether for the broader MCP effort.

Critical Reflections: Strengths and Limitations​

Notable Strengths​

  • Democratization of Innovation: By backing open standards like MCP, Microsoft and allies are explicitly pushing back against a walled-garden future. This should empower more startups and independent developers to build competitive AI helpers.
  • Efficiency by Selective Memory: Structured retrieval augmentation strikes a thoughtful balance between user value and system cost. While not flawless, it addresses the pain points most users feel when AI helpers “forget” ongoing projects or preferences.
  • Foundation for Collective Problem-Solving: An interlinked web of AI agents could become a catalyst for tackling large, cross-disciplinary challenges—from business process automation to personalized education and healthcare.

Potential Risks​

  • Privacy Minefields: Summarized but persistently stored conversational context is still user data—and could be highly sensitive in aggregate. MCP and similar protocols must bake in robust privacy controls from the outset.
  • Economic Uncertainty: Efficient agent memory is still not free. Operators, both large and small, will face tough choices around pricing, infrastructure investment, and fair access as AI utility scales.
  • Inertia from the Largest Players: Unless industry giants beyond Microsoft, Google, and Anthropic buy in, the agentic web could wind up as another technical silo—just on a bigger, more complex scale.
  • Risk of Unintended Consequences: With great power comes new hazards. Collaborative AIs could amplify both the positive and the negative in digital society, from supercharged teamwork to high-velocity errors or automated manipulations.

Outlook: Are We On the Verge of the Agentic Web?​

As AI moves from command-and-response tools to persistent helpers, the stakes continue to rise for how these systems interoperate, remember, and are governed. Microsoft’s candid recognition of AI’s current limitations, coupled with its proactive advocacy for standards like MCP, marks a significant moment in tech history. If their vision of a truly agentic web materializes, the next decade could see a renaissance in digital productivity and collaboration.
However, oversight, competition, and real transparency will be needed to ensure this future serves users first—not just a handful of platform providers. The industry’s success will hinge on making these new AI agents both powerful and trustworthy, with memory and interoperability working hand-in-hand—not as isolated technical achievements, but as pillars of a truly open, empowered digital world.
For now, the jury is still out on how quickly these ambitions will become reality. But one thing is clear: the foundations being laid today will shape the AI-driven internet of the future—and who gets to participate in it. As MCP matures and more players join the effort, users can expect AI helpers that not only respond more intelligently to immediate needs but also coordinate, remember, and amplify collective creativity across company lines—a transformative leap, if it lives up to its promise.

Source: extremetech.com Microsoft: AI Helpers From Different Companies Should Work Together
 

The world of artificial intelligence is shifting, and Microsoft’s latest vision for an “Agentic Web” is set to redefine the boundaries of digital collaboration. As we approach the landmark Build 2025 developer conference in Seattle, industry observers and developers alike are buzzing with anticipation over Microsoft’s commitment to building a future where AI agents — smart, autonomous systems from various companies — can not only work together but also remember their interactions to offer richer, more proactive support to users. This isn’t just incremental progress in automation. If Microsoft succeeds, it could represent a fundamental transformation in the way both enterprises and consumers experience task automation, digital assistance, and interactive technology.

Glowing blue digital humanoid figures stand interconnected on a network grid in a futuristic setting.
The Agentic Web: A New Digital Frontier​

When Kevin Scott, Microsoft’s Chief Technology Officer, unveiled this ambitious blueprint, he invoked the analogy of the early web — a time when protocols like HTTP unlocked interoperability and democratized access to information. The core of Microsoft’s agentic vision is strikingly similar in philosophy: break down silos by adopting shared standards, empower developers through open initiatives, and offer users experiences that are more cohesive, customized, and intelligent.

Why “Agentic Web”?​

The term “agentic web” refers to a networked environment where AI agents — sophisticated programs capable of autonomous learning and operation — don’t just perform narrow, isolated functions. Instead, they interact, collaborate, and even “think” ahead by leveraging shared context and collective memory. Imagine a digital ecosystem where your virtual assistant from Company A can seamlessly coordinate with a calendar bot from Company B, or where your personal finance agent can proactively warn your travel agent about budget constraints, all while remembering your preferences and historical choices.
This vision is bold but not without precedent. Historically, interoperability has fueled technological revolutions: the telephone network, the internet, and, most recently, efforts like open banking. The difference here is the complexity — AI agents are not just protocols or static data packets, but learning entities with evolving knowledge and goals.

A Common Language for AI Agents​

Microsoft’s support for the Model Context Protocol (MCP) is pivotal. Originally introduced as an open-source initiative by Anthropic and also backed by Google, MCP aims to standardize how AI agents communicate and share context. Just as browsers universally interpret hyperlinks using HTTP and HTML, MCP proposes a foundation that lets heterogeneous AI systems understand each other's instructions, context, and even nuanced goals.

How MCP Could Change the Game​

  • Plug-and-Play AI: Developers could build specialized agents that “just work” with others, regardless of origin.
  • Reduced Lock-In: The days of being tied to a single vendor’s digital ecosystem could fade, fostering competition and spurring innovation.
  • User-Centric Experiences: By breaking down technical barriers, users could experience more natural, coordinated digital assistance.
Scott’s analogy drives the point home: “It means your imagination gets to drive what the agentic web becomes, not just a handful of companies that happen to see some of these problems first.” This democratizing ethos is central to MCP’s appeal and underpins Microsoft’s platform strategy for the years ahead.

Current State: Fragmentation and Its Costs​

Today’s landscape is fractured. Virtual assistants like Alexa, Siri, and Google Assistant operate in silos, with limited cross-communication. Enterprise bots, productivity tools, and bespoke workflow automations all too often require brittle integrations or manual setup. Not only is this inefficient, but it also stifles the creative combinations that could unlock genuine productivity gains.

The Ambition: AI That Remembers​

Collaboration is only part of the story. To realize the full potential of an agentic web, these AI systems need robust memories. Scott highlights a persistent limitation in current AI workflows: most conversations with intelligent systems are inherently “transactional.” The assistant forgets the context of previous interactions, leading to repetitive queries and superficial help.

The Promise of Structured Retrieval Augmentation​

Microsoft believes the answer lies in structured retrieval augmentation. This data science method involves capturing and storing small, contextually relevant pieces from user interactions — not just raw data, but summaries, preferences, and relationship maps. Over time, these fragments build up a sophisticated, personalized roadmap of “memory” for each user.
What’s unique here is the approach: rather than brute-forcing huge logs or forcing AIs to recall every detail anew, the AI selectively enriches its active memory with just the data needed to make conversations holistic and efficient. Scott likens the approach to the learning model of a biological brain, which relies on scaffolds and recall aids rather than total memorization.

Benefits for Users​

  • Deeper Personalization: Agents learn nuances of preference, style, and workflow over time.
  • Proactivity: AI can take initiative based on not only real-time inputs but also broader historical patterns.
  • Reduced Frustration: The often-annoying cycle of starting from scratch with each conversation is minimized.

Enterprise and Consumer Impact​

Businesses could see direct benefits. Imagine team management bots that recall organizational priorities, project-specific terminology, or even interpersonal nuances. Consumers may finally experience digital assistants that “get” them — and act without intrusive reminders or repetitive onboarding.

Infrastructure Challenges and the Cost of Memory​

The vision is compelling, but it comes with substantial technical and economic challenges. Enhancing an AI’s memory is not a trivial upgrade: each bit of stored interaction requires not only more sophisticated algorithms but also more processing power and storage. At the scale Microsoft envisions — potentially billions of active agents across the globe — costs can skyrocket.
Scott is frank about this tradeoff: “Smarter AI agents are more helpful, but the recall abilities we want to see mean greater computational load.” For a company managing platforms as pivotal as Azure, keeping these systems efficient while scaling them to global demand is a nontrivial task.

The Efficiency Balancing Act​

  • Energy and Hardware Costs: More persistent memory and richer context increase data center usage, affecting both the bottom line and environmental footprint.
  • Latency: Maintaining context-rich interactions must not delay responses. Users expect instant interactions.
  • Security and Privacy: Richer memories increase the potential rewards for cyberintrusions. Encryption, user consent, and data governance take on even greater importance.

Democratizing AI: Beyond the Enterprise​

While much of the focus is on enterprise use cases — from automated customer support to intelligent workflow orchestration — Microsoft’s Agentic Web and structured retrieval memory have equally profound implications for everyday consumers. Open standards like MCP could finally bring about a wave of accessible, interoperable AI that breaks down the walled gardens of Apple, Google, and Amazon.

Universal Agents in the Smart Home​

Consider the smart home: in an MCP-powered agentic ecosystem, your lighting, thermostat, grocery delivery, and health tracking agents could coordinate tasks, resolve conflicts, and proactively offer suggestions without requiring exhaustive manual setup. As these systems mature, users would interact less with disparate apps and more with intelligent assistants capable of orchestrating meaningful goals.

Assistive Tech and Accessibility​

Memory-enabled, interoperable AI could drastically improve assistive technologies as well, offering more consistent and anticipatory help to elderly users, individuals with disabilities, or those juggling multiple commitments.

Notable Strengths​

1. Encouraging Industry Collaboration​

The MCP initiative, if widely adopted, would represent a sea change in AI development. By removing the technical and legal barriers to cross-company communication, Microsoft and its allies have a real chance to foster a more innovative, responsive environment for both developers and end users.

2. Raising the Bar for User Experience​

Agents capable of meaningful memory, even when built by different vendors, promise a quantum leap in digital interaction quality. The potential for frictionless workflows, proactive assistance, and adaptive interfaces is enormous.

3. Broader Ecosystem Benefits​

Just as open standards like HTML and TCP/IP unleashed decades of internet-driven innovation, an agentic web standard could produce positive network effects in AI, making the field more vibrant, diverse, and accessible.

Key Risks and Critical Perspectives​

1. Standards Fragmentation​

Early-stage optimism often gives way to “protocol wars.” While MCP is open source and supported by heavyweights like Microsoft and Google, it faces competition from proprietary integrations and competing standards. Universal buy-in is far from guaranteed. The lack of industry-wide consensus, especially from major players with entrenched interests, could lead to a balkanized ecosystem that underdelivers on the vision of free-flowing agentic collaboration.

2. Security, Privacy, and User Agency​

A world where agents “remember” more inevitably raises questions of user control and data privacy. Who owns the data? How is it shared across agents and platforms? The possibility of a data breach exposing deeply personal interaction histories is a serious concern. Microsoft and its partners must prioritize transparency, consent, and strong cryptographic protections if they are to win user trust.

Data Regulation Compliance​

National and international data regulations (GDPR in Europe, CCPA in California, etc.) require careful design to ensure compliance. Cross-company agent memory necessitates granular user controls over what is stored, for how long, and who may access the information.

3. Computational and Environmental Cost​

As noted, persistent, context-rich memory at massive scale will again push the limits of data center technology. The tech sector is already under pressure to reduce its climate impact; more powerful, always-on agents could exacerbate these challenges if not carefully managed.

4. Scope Creep and User Fatigue​

Too much autonomy, or poorly tuned proactive agents, can feel intrusive rather than helpful. There’s a fine line between smart assistance and digital overreach. Maintaining user trust will require careful, transparent UX design, clear opt-in/opt-out controls, and continuous feedback mechanisms.

What to Expect from Build 2025​

Microsoft’s keynote promises specifics, with early previews of the tools and connectors that will make next-generation AI collaboration possible. Developers are expected to gain access to new APIs, templates, and integration blueprints designed for MCP and structured retrieval memory architectures. Given the scale and ambition, early rollouts are likely to be gradual: pilot programs within enterprise, limited consumer deployments, and iterative advances in the underlying protocol.

Interoperability Testing​

A major focus is likely to be interoperability scenarios — demonstrations of bots from different companies working together in real-world situations, with persistent, cross-platform memory. The goal is both technical (proving that MCP works as advertised) and cultural (convincing the industry and the public that the agentic web is both safe and transformative).

Conclusion: The Dawn of Truly Collaborative, Smart AI​

Microsoft’s vision for an Agentic Web is not just another pitch for smarter digital assistants or enterprise bots. By championing open standards for interoperability and pushing the envelope on agent memory, the company is laying the groundwork for a more flexible, intelligent, and user-centric AI landscape.
There are real hurdles ahead — technical, strategic, and regulatory — and not all players may unite behind a single approach. But the upside is compelling: a future where digital agents are no longer isolated, forgetful tools, but true collaborators that understand both the letter and the spirit of our goals.
If Microsoft can deliver on this vision, we may well see the emergence of a genuine agentic web, one where users benefit from AI systems that not only work harder but work smarter, together, and with a memory that feels almost human. As Build 2025 unfolds, the world will be watching to see just how close we’re coming to this new digital dawn.

Source: ABP Live English Microsoft Imagines An ‘Agentic Web’ Where AI Systems Collaborate & Remember
 

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