Microsoft Corp. is redefining its Windows operating system as a central hub for artificial intelligence agents, aiming to create an ecosystem where AI can autonomously manage tasks and integrate into user workflows. This strategy, announced in 2025, seeks to attract developers by providing tools like Agent 365 for proactive task management. However, challenges related to privacy, security, and user trust persist, as AI agents require extensive access to personal data. Microsoft is embedding AI agents at the OS level, allowing third-party developers to deploy agents that interact with Windows features. The company’s ecosystem includes Azure AI Foundry and Copilot Studio, which support agent development. Despite having 1.4 billion devices, Microsoft faces competition from Apple and Google, and must navigate privacy concerns and regulatory scrutiny. The success of this initiative depends on developer adoption and user acceptance, with potential risks of job displacement and over-reliance on automation.