The July 2026 release roundup for the Azure Developer CLI (azd) covers five releases (1.27.0–1.29.0). Key additions include a new `azd tool uninstall` command completing the tool lifecycle, extension installs directly from a registry location with `--source` and optional `--no-dependencies`, native modeling of Azure AI Foundry projects and agents in `azure.yaml`, and container deployment support for Azure App Service via `host: appservice` with `language: docker`. azd now auto-detects CI/CD and AI-agent environments to run non-interactively, failing fast instead of hanging on prompts. A breaking change renames the `--host` flag to `--agent` on tool commands. Several bug fixes address Terraform CI/CD hangs, extension install race conditions on Windows, and App Service container config overwrites. New templates cover Azure Functions Timer triggers and Durable Functions fan-out/fan-in patterns across multiple languages, plus remote MCP server samples.
