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docs: sync WHATS_NEW.md from Skylight CHANGELOG #503

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24 changes: 24 additions & 0 deletions WHATS_NEW.md
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# What's New in Foundry Toolkit for VS Code

## Version 1.6.2 - 30 June, 2026

This incremental release improves Hosted Agent deployment reliability with unified `azure.yaml` support, safer environment-variable handling, and ACR polling that waits for terminal build status. It also restores Azure sign-in during subscription selection and strengthens the shared Agents list architecture.

### Added

- **Hosted Agent Deploy**
- **Unified `azure.yaml` support**: Hosted-agent create and deploy flows now read the unified Azure Developer CLI `azure.yaml` (`host: azure.ai.agent`) for agent name, source, runtime, protocols, environment variables, and resource settings, while falling back to legacy `agent.yaml` with a migration warning.

### Changed

- **Hosted Agent Deploy**
- Filter runtime-reserved environment variables (`AGENT_*` and `FOUNDRY_*`) before deploy, warn when values are dropped, and continue with the sanitized set.
- ACR build polling now waits until the build reaches a terminal status instead of stopping after a fixed number of attempts, preventing long container builds from failing prematurely.
- **Hosted Agent samples**: Updated the Agent Framework Toolbox sample to use `TOOLBOX_ENDPOINT`, clearer Azure Developer CLI and Foundry Toolkit setup guidance, and leaner dependencies.
- **Hosted Agent disclaimers**: Updated the tracing and deploy disclaimer presentation to match the latest compliance guidance.

### Fixed

- **Authentication**: Restored the Azure sign-in prompt in the subscription picker when the user is not signed in, without reintroducing the subscription-selection loop.
- **Agent Inspector**: OAuth consent cards now remain actionable when an agent response pauses for user consent and appear in the correct order above the assistant response.
- **Model deployment**: Fixed the deployment dropdown being disabled when a default Foundry project is set.
- **Fine-tuning**: Local `.jsonl` datasets now generate an Olive config `data_name` of `json`, matching the Hugging Face dataset loader.

## Version 1.6.1 - 24 June, 2026

This hotfix resolves an issue introduced in 1.6.0 where agents could fail to appear in the Agents view.
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