--- title: SQL and AI for Developers in Action | daily.dev description: A live conference keynote from Microsoft's SQL Server product team demonstrates how AI is being built directly into the Microsoft SQL ecosystem (SQL Server... canonical: https://daily.dev/posts/sql-and-ai-for-developers-in-action-c1txtkeys twitter:card: summary_large_image twitter:site: @dailydotdev og:type: website og:site_name: daily.dev og:title: SQL and AI for Developers in Action | daily.dev og:description: A live conference keynote from Microsoft's SQL Server product team demonstrates how AI is being built directly into the Microsoft SQL ecosystem (SQL Server... og:url: https://daily.dev/posts/sql-and-ai-for-developers-in-action-c1txtkeys og:image: https://api.daily.dev/og/posts/c1txtkeys.png og:image:alt: SQL and AI for Developers in Action og:image:width: 1200 og:image:height: 630 og:locale: en --- > ## Documentation Index > Fetch the complete documentation index at: https://daily.dev/llms.txt > Use this file to discover all available pages before exploring further. # SQL and AI for Developers in Action **[Microsoft Developer](https://daily.dev/sources/microsoftdeveloper)** · 59 min read · 1 upvotes · 0 comments ## Summary A live conference keynote from Microsoft's SQL Server product team demonstrates how AI is being built directly into the Microsoft SQL ecosystem (SQL Server 2025, Azure SQL Database, and Fabric). Demos cover vector search and embeddings generated inside the database, stored procedures that call external REST endpoints and chat completion models, an immutable ledger for logging AI agent actions, and a new private-preview offering called Azure SQL Developer - a local, versionless container that emulates Azure SQL Database for offline development on x64 and ARM. Additional segments show SQL database projects in SSMS, a 'database constitution' file to guide GitHub Copilot's code generation, schema comparison and source control workflows in Fabric and VS Code, Data API Builder exposing REST/GraphQL/MCP endpoints, and Hyperscale's elastic compute/storage scaling with a new automatic index compaction feature. A running example uses an MCP server and Copilot agent to diagnose and mitigate a simulated production incident. ## Full article daily.dev links to this article rather than hosting it. Read it at the original source: ## Questions this post answers ### What new AI features does SQL Server 2025 include? SQL Server 2025 adds native vector data types and vector indexing for semantic search, an AI_GENERATE_EMBEDDINGS function, the ability to call external REST endpoints directly from stored procedures via sp_invoke_external_rest_endpoint, and an immutable ledger for logging AI agent activity. It also adds Entra ID support, BYOK with Azure Key Vault, Microsoft Defender integration, tempdb resource governance, mirroring to Fabric OneLake, and Arc management. _Track new SQL Server 2025 AI capabilities on daily.dev before deciding what to adopt in production._ ### What is Azure SQL Developer and how does it work? Azure SQL Developer is a private-preview local container that emulates Azure SQL database's engine and features, including AI functionality, so developers can build and test offline on any platform including ARM devices. It is versionless, free to use, and designed so an app built against it can be deployed to the cloud Azure SQL database with minimal changes once ready. _Developers evaluating offline Azure SQL workflows can follow releases like this on daily.dev._ ### What are the storage and compute limits for Azure SQL Hyperscale? Azure SQL Hyperscale supports databases from 10 GB up to 128 terabytes of storage, from 2 to 192 vCores, and a maximum log throughput of 150 MB/s, with compute and storage billed and scaled separately. It uses the same SQL Server engine as SQL Server 2025 but with a distributed architecture, and includes a preview feature called automatic index compaction intended to reduce the need for manual index rebuilds. _Teams comparing cloud database tiers can keep tabs on Hyperscale limits and pricing via daily.dev._ ## Similar posts on daily.dev - [How to build an app on Azure SQL with an AI coding agent](https://daily.dev/posts/how-to-build-an-app-on-azure-sql-with-an-ai-coding-agent-hyseem3y2) · DevBlogs · 0 upvotes · 0 comments --- Tags: [#ai-agents](https://daily.dev/tags/ai-agents), [#azure](https://daily.dev/tags/azure), [#mcp](https://daily.dev/tags/mcp), [#microsoft-sql-server](https://daily.dev/tags/microsoft-sql-server), [#vector-search](https://daily.dev/tags/vector-search) [View this post on daily.dev](https://daily.dev/posts/sql-and-ai-for-developers-in-action-c1txtkeys) ```json {"@context":"https://schema.org","@graph":[{"@type":"Organization","@id":"https://daily.dev/#organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180},"sameAs":["https://twitter.com/dailydotdev","https://github.com/dailydotdev","https://www.linkedin.com/company/daily-dev-ltd"]},{"@type":"WebSite","@id":"https://daily.dev/#website","url":"https://daily.dev","name":"daily.dev","publisher":{"@id":"https://daily.dev/#organization"},"potentialAction":{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https://daily.dev/search?q={search_term_string}"},"query-input":"required name=search_term_string"}}]} {"@context":"https://schema.org","@type":"TechArticle","headline":"SQL and AI for Developers in Action","url":"https://daily.dev/posts/sql-and-ai-for-developers-in-action-c1txtkeys","mainEntityOfPage":{"@type":"WebPage","@id":"https://daily.dev/posts/sql-and-ai-for-developers-in-action-c1txtkeys"},"datePublished":"2026-08-19T16:03:26.206Z","dateModified":"2026-09-13T19:32:46.257Z","description":"A live conference keynote from Microsoft's SQL Server product team demonstrates how AI is being built directly into the Microsoft SQL ecosystem (SQL Server...","image":"https://i.ytimg.com/vi/KykyglY1W4g/sddefault.jpg","thumbnailUrl":"https://i.ytimg.com/vi/KykyglY1W4g/sddefault.jpg","isAccessibleForFree":true,"articleSection":"Microsoft Developer","inLanguage":"en","publisher":{"@type":"Organization","name":"daily.dev","url":"https://daily.dev","logo":{"@type":"ImageObject","url":"https://daily.dev/apple-touch-icon.png","width":180,"height":180}},"author":{"@type":"Organization","name":"Microsoft Developer","logo":"https://media.daily.dev/image/upload/s--xZzU3zUq--/f_auto/v1746714872/logos/microsoftdeveloper","url":"https://daily.dev/sources/microsoftdeveloper"},"commentCount":0,"discussionUrl":"https://daily.dev/posts/sql-and-ai-for-developers-in-action-c1txtkeys","interactionStatistic":[{"@type":"InteractionCounter","interactionType":{"@type":"LikeAction"},"userInteractionCount":1},{"@type":"InteractionCounter","interactionType":{"@type":"CommentAction"},"userInteractionCount":0}],"keywords":"ai-agents,azure,mcp,microsoft-sql-server,vector-search","timeRequired":"PT59M","video":{"@type":"VideoObject","name":"SQL and AI for Developers in Action","description":"A live conference keynote from Microsoft's SQL Server product team demonstrates how AI is being built directly into the Microsoft SQL ecosystem (SQL Server...","thumbnailUrl":"https://i.ytimg.com/vi/KykyglY1W4g/sddefault.jpg","uploadDate":"2026-08-19T16:03:26.206Z","duration":"PT59M","url":"https://api.daily.dev/r/c1txtkeys","embedUrl":"https://www.youtube.com/embed/KykyglY1W4g"}} {"@context":"https://schema.org","@type":"BreadcrumbList","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https://daily.dev"},{"@type":"ListItem","position":2,"name":"Microsoft Developer","item":"https://daily.dev/sources/microsoftdeveloper"},{"@type":"ListItem","position":3,"name":"SQL and AI for Developers in Action"}]} {"@context":"https://schema.org","@type":"FAQPage","@id":"https://daily.dev/posts/sql-and-ai-for-developers-in-action-c1txtkeys#faq","mainEntity":[{"@type":"Question","name":"What new AI features does SQL Server 2025 include?","acceptedAnswer":{"@type":"Answer","text":"SQL Server 2025 adds native vector data types and vector indexing for semantic search, an AI_GENERATE_EMBEDDINGS function, the ability to call external REST endpoints directly from stored procedures via sp_invoke_external_rest_endpoint, and an immutable ledger for logging AI agent activity. 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