Introduction
Microsoft Discovery is a platform that brings agentic AI to research and development (R&D), enabling autonomous agent teams guided by human expertise to accelerate scientific breakthroughs and engineering transformation. This guide walks you through the practical steps to set up and run agentic R&D workflows using Microsoft Discovery, from initial environment preparation to iterative refinement. By following these steps, you can harness the power of large-scale reasoning models, agentic architectures, and cloud infrastructure to tackle complex challenges in materials science, energy, drug discovery, and more.

What You Need
- Microsoft Discovery access – A preview or licensed account with appropriate permissions.
- Azure subscription – For high-performance cloud compute and storage.
- R&D team – Domain experts (scientists, engineers) to guide agents and validate outputs.
- Organizational data – Proprietary research data, public domain knowledge bases, and existing hypotheses.
- Agent definitions – Clear roles for agents (e.g., hypothesis generator, tester, analyzer).
- Basic familiarity – Understanding of AI agents and agentic loops.
Step-by-Step Instructions
Step 1: Set Up Your Microsoft Discovery Environment
Start by provisioning your Microsoft Discovery instance through Azure. Ensure your team has login credentials and appropriate roles assigned. Configure storage for data ingestion—use Azure Blob Storage or similar for raw datasets and public-domain knowledge. Enable networking to allow agents to access internal databases and external repositories. Test connectivity with a small dataset before scaling up.
Step 2: Define Agent Teams and Roles
Agentic R&D relies on specialized agents working in an autonomous loop. Design your agent team based on your R&D workflow:
- Search and Retrieval Agent – Gathers relevant literature and internal data.
- Hypothesis Generation Agent – Reasons over data to propose new hypotheses.
- Testing and Validation Agent – Simulates or runs experiments to test hypotheses.
- Analysis Agent – Interprets results and feeds insights back into the loop.
Assign each agent a clear objective, constraints (e.g., cost, time), and communication protocols. Use Microsoft Discovery’s admin console to define these roles and their interaction rules.
Step 3: Ingest and Organize Knowledge
Knowledge ingestion is critical for agent reasoning. Upload your organizational data—research papers, experimental results, material properties, engineering specs—into a unified knowledge graph. Connect public-domain sources (e.g., scientific databases, patents) via APIs. Microsoft Discovery supports semantic indexing, so ensure metadata is rich (e.g., dates, confidence scores). Validate the ingested data for accuracy and completeness.
Step 4: Configure Reasoning and Hypothesis Generation
Set up the reasoning engine that drives your agents. Define the search space—what types of materials, compounds, or designs should be explored. Configure constraints like budget, regulatory limits, or performance thresholds. The agentic loop will use large language models and reasoning algorithms to generate hypotheses. Tune parameters: temperature for creativity, top-k for diversity, and iteration limits. Start with a small trial run on a known problem to calibrate expectations.

Step 5: Test and Validate Hypotheses at Scale
Deploy your agent team to run full experiments. Microsoft Discovery can orchestrate thousands of simulations or analyses in parallel using Azure compute. Each hypothesis is tested against your validation criteria—cost, yield, compliance, or performance. Agents automatically log results, flag anomalies, and discard dead ends. Monitor progress via dashboards that show hypothesis success rates, resource usage, and time to conclusion. Human experts can intervene to redirect agents if needed.
Step 6: Iterate and Refine the Loop
After each cycle, analyze the aggregated results. The Analysis Agent synthesizes conclusions and surfaces actionable insights. Update the knowledge base with new findings, prune unsuccessful hypotheses, and refine agent prompts. Adjust agent roles or add new specialized agents based on emerging needs. Repeat the loop—each iteration should converge faster and uncover deeper insights. Microsoft Discovery supports continuous learning, so your R&D becomes progressively more efficient.
Tips for Success
- Start small – Pilot with a narrow domain (e.g., one material class) to validate the approach before scaling.
- Human oversight is key – Agents augment, not replace, expert judgment. Schedule regular reviews of agent outputs.
- Leverage partner interoperability – Microsoft Discovery integrates with third-party tools (e.g., simulation software, laboratory automation). Use APIs to connect your existing stack.
- Focus on data quality – Garbage in, garbage out. Invest in cleaning and structuring your R&D data prior to ingestion.
- Monitor costs – Agentic loops can consume significant compute. Set budget alerts and optimize agent workflows to avoid runaway expenses.
- Document agent behaviors – Keep a log of agent configurations and decisions to maintain reproducibility and auditability.
- Engage leadership early – Transformative R&D requires organizational buy-in. Share early wins to build momentum.