Agent capabilities are optional extensions that expand what an agent can do during a conversation. They are designed to be opt-in: by default, agents operate in a focused mode without extended permissions, and you activate capabilities only when a specific task calls for them.
A capability is a bundle of additional tools and permissions that an agent can use when the user enables it. Capabilities allow agents to do things they cannot do by default, such as running shell commands or interacting with GitHub.
This design keeps agents predictable and contained in everyday use, while still giving you access to more powerful behaviors when you need them.
Agents that advertise optional capabilities show compact toggle chips directly in the chat input area. Each chip represents a named capability that is off by default - click the chip to enable it for your next request, click again to disable. When any capability is on, a small blue dot appears on the tools icon in the chat toolbar so you can see at a glance that a capability is active.
@Coder advertises three chips in Agent Mode:
shellExecute tool, allowing it to run shell commands on the host (the Fabric Dev server). The agent still prefers workspace tasks and dedicated file tools and falls back to shell execution only when no better option exists.Other agents (including custom and plugin-provided agents) can declare their own chips - see Declaring Capabilities in an Agent Prompt below.
Beyond the chat-input chips, Studio AI provides a Generic Capabilities Panel for fine-grained control over everything an agent can call into. The panel exposes not only the capability bundles surfaced as chips, but also individual skills, MCP server tools (grouped by server), built-in tool functions (grouped by provider), prompt fragments, agent delegation targets, and variables.
To open the panel:
The panel displays a searchable tree. Each entry shows its name, description, and current status; you can enable or disable individual items from here. MCP tools appear and disappear live as MCP servers connect or stop.

Use this panel when:
Toggle chips and Generic Capabilities Panel selections are per session. When you start a new chat session, all capabilities reset to their defaults (off) so that permissions do not silently carry over from one task to the next.
Within the current session, once a capability is enabled it stays on for all subsequent messages until you explicitly disable it.
If you want a selection to survive across sessions, use the save icon in the Generic Capabilities Panel - it writes your current selection to your settings file so the same capabilities are pre-enabled on the next session.
A capability becomes a chip on an agent when the agent's prompt template declares it. The declaration uses the syntax:
{{capability:<capability-name> default off}}
For example, the @Broadway-Flow-Builder agent in the Fabric Project AI Plugin declares {{capability:shell-execution default off}} so that a Shell Execution chip appears in the chat input when that agent is pinned.
You can add the same line to a custom agent's prompt template (see Creating Custom Agents and Agents Prompt Customization) to expose any registered capability as an opt-in chip. The default off clause is important: it ensures the capability remains opt-in even after the prompt is edited.
Agent capabilities are optional extensions that expand what an agent can do during a conversation. They are designed to be opt-in: by default, agents operate in a focused mode without extended permissions, and you activate capabilities only when a specific task calls for them.
A capability is a bundle of additional tools and permissions that an agent can use when the user enables it. Capabilities allow agents to do things they cannot do by default, such as running shell commands or interacting with GitHub.
This design keeps agents predictable and contained in everyday use, while still giving you access to more powerful behaviors when you need them.
Agents that advertise optional capabilities show compact toggle chips directly in the chat input area. Each chip represents a named capability that is off by default - click the chip to enable it for your next request, click again to disable. When any capability is on, a small blue dot appears on the tools icon in the chat toolbar so you can see at a glance that a capability is active.
@Coder advertises three chips in Agent Mode:
shellExecute tool, allowing it to run shell commands on the host (the Fabric Dev server). The agent still prefers workspace tasks and dedicated file tools and falls back to shell execution only when no better option exists.Other agents (including custom and plugin-provided agents) can declare their own chips - see Declaring Capabilities in an Agent Prompt below.
Beyond the chat-input chips, Studio AI provides a Generic Capabilities Panel for fine-grained control over everything an agent can call into. The panel exposes not only the capability bundles surfaced as chips, but also individual skills, MCP server tools (grouped by server), built-in tool functions (grouped by provider), prompt fragments, agent delegation targets, and variables.
To open the panel:
The panel displays a searchable tree. Each entry shows its name, description, and current status; you can enable or disable individual items from here. MCP tools appear and disappear live as MCP servers connect or stop.

Use this panel when:
Toggle chips and Generic Capabilities Panel selections are per session. When you start a new chat session, all capabilities reset to their defaults (off) so that permissions do not silently carry over from one task to the next.
Within the current session, once a capability is enabled it stays on for all subsequent messages until you explicitly disable it.
If you want a selection to survive across sessions, use the save icon in the Generic Capabilities Panel - it writes your current selection to your settings file so the same capabilities are pre-enabled on the next session.
A capability becomes a chip on an agent when the agent's prompt template declares it. The declaration uses the syntax:
{{capability:<capability-name> default off}}
For example, the @Broadway-Flow-Builder agent in the Fabric Project AI Plugin declares {{capability:shell-execution default off}} so that a Shell Execution chip appears in the chat input when that agent is pinned.
You can add the same line to a custom agent's prompt template (see Creating Custom Agents and Agents Prompt Customization) to expose any registered capability as an opt-in chip. The default off clause is important: it ensures the capability remains opt-in even after the prompt is edited.