diff --git a/CHANGELOG.md b/CHANGELOG.md
index ccacef0d..f83fabf6 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -7,6 +7,14 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 
 ## [Unreleased]
 
+### Breaking Changes (`@microsoft/agents-a365-observability-hosting`)
+
+- **`ScopeUtils.deriveAgentDetails(turnContext, authToken)`** — New required `authToken: string` parameter.
+- **`ScopeUtils.populateInferenceScopeFromTurnContext(details, turnContext, authToken, ...)`** — New required `authToken: string` parameter.
+- **`ScopeUtils.populateInvokeAgentScopeFromTurnContext(details, turnContext, authToken, ...)`** — New required `authToken: string` parameter.
+- **`ScopeUtils.populateExecuteToolScopeFromTurnContext(details, turnContext, authToken, ...)`** — New required `authToken: string` parameter.
+- **`ScopeUtils.buildInvokeAgentDetails(details, turnContext, authToken)`** — New required `authToken: string` parameter.
+
 ### Added
 - **OutputScope**: Tracing scope for outgoing agent messages with caller details, conversation ID, source metadata, and parent span linking.
 - **BaggageMiddleware**: Middleware for automatic OpenTelemetry baggage propagation from TurnContext.
@@ -14,6 +22,12 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 - **ObservabilityHostingManager**: Manager for configuring hosting-layer observability middleware with `ObservabilityHostingOptions`.
 
 ### Changed
+- `ScopeUtils.deriveAgentDetails` now resolves `agentId` via `activity.getAgenticInstanceId()` for embodied (agentic) agents only. For non-embodied agents, `agentId` is `undefined` since the token's app ID cannot reliably be attributed to the agent.
+- `ScopeUtils.deriveAgentDetails` now resolves `agentBlueprintId` from the JWT `xms_par_app_azp` claim via `RuntimeUtility.getAgentIdFromToken()` instead of reading `recipient.agenticAppBlueprintId`.
+- `ScopeUtils.deriveAgentDetails` now resolves `agentUPN` via `activity.getAgenticUser()` instead of `recipient.agenticUserId`.
+- `ScopeUtils.deriveTenantDetails` now uses `activity.getAgenticTenantId()` instead of `recipient.tenantId`.
+- `getTargetAgentBaggagePairs` now uses `activity.getAgenticInstanceId()` instead of `recipient.agenticAppId`.
+- `getTenantIdPair` now uses `activity.getAgenticTenantId()` instead of manual `channelData` parsing.
 - `InferenceScope.recordInputMessages()` / `recordOutputMessages()` now use JSON array format instead of comma-separated strings.
 - `InvokeAgentScope.recordInputMessages()` / `recordOutputMessages()` now use JSON array format instead of comma-separated strings.
 
diff --git a/packages/agents-a365-observability-hosting/src/index.ts b/packages/agents-a365-observability-hosting/src/index.ts
index 5f7113e5..ed0173a3 100644
--- a/packages/agents-a365-observability-hosting/src/index.ts
+++ b/packages/agents-a365-observability-hosting/src/index.ts
@@ -8,6 +8,6 @@ export * from './utils/ScopeUtils';
 export * from './utils/TurnContextUtils';
 export { AgenticTokenCache, AgenticTokenCacheInstance } from './caching/AgenticTokenCache';
 export { BaggageMiddleware } from './middleware/BaggageMiddleware';
-export { OutputLoggingMiddleware, A365_PARENT_SPAN_KEY } from './middleware/OutputLoggingMiddleware';
+export { OutputLoggingMiddleware, A365_PARENT_SPAN_KEY, A365_AUTH_TOKEN_KEY } from './middleware/OutputLoggingMiddleware';
 export { ObservabilityHostingManager } from './middleware/ObservabilityHostingManager';
 export type { ObservabilityHostingOptions } from './middleware/ObservabilityHostingManager';
diff --git a/packages/agents-a365-observability-hosting/src/middleware/OutputLoggingMiddleware.ts b/packages/agents-a365-observability-hosting/src/middleware/OutputLoggingMiddleware.ts
index bc2225ed..aed44788 100644
--- a/packages/agents-a365-observability-hosting/src/middleware/OutputLoggingMiddleware.ts
+++ b/packages/agents-a365-observability-hosting/src/middleware/OutputLoggingMiddleware.ts
@@ -9,8 +9,10 @@ import {
   CallerDetails,
   ParentSpanRef,
   logger,
+  isPerRequestExportEnabled,
 } from '@microsoft/agents-a365-observability';
 import { ScopeUtils } from '../utils/ScopeUtils';
+import { AgenticTokenCacheInstance } from '../caching/AgenticTokenCache';
 
 /**
  * TurnState key for the parent span reference.
@@ -18,6 +20,13 @@ import { ScopeUtils } from '../utils/ScopeUtils';
  */
 export const A365_PARENT_SPAN_KEY = 'A365ParentSpanId';
 
+/**
+ * TurnState key for the auth token.
+ * Set this in `turnState` so middleware can resolve the agent blueprint ID
+ * from token claims (used for embodied/agentic requests).
+ */
+export const A365_AUTH_TOKEN_KEY = 'A365AuthToken';
+
 /**
  * Middleware that creates {@link OutputScope} spans for outgoing messages.
  * Links to a parent span when {@link A365_PARENT_SPAN_KEY} is set in turnState.
@@ -28,7 +37,8 @@ export const A365_PARENT_SPAN_KEY = 'A365ParentSpanId';
 export class OutputLoggingMiddleware implements Middleware {
 
   async onTurn(context: TurnContext, next: () => Promise<void>): Promise<void> {
-    const agentDetails = ScopeUtils.deriveAgentDetails(context);
+    const authToken = this.resolveAuthToken(context);
+    const agentDetails = ScopeUtils.deriveAgentDetails(context, authToken);
     const tenantDetails = ScopeUtils.deriveTenantDetails(context);
 
     if (!agentDetails || !tenantDetails) {
@@ -47,6 +57,23 @@ export class OutputLoggingMiddleware implements Middleware {
     await next();
   }
 
+  /**
+   * Resolve the auth token for agent identity resolution.
+   * When per-request export is enabled, reads from turnState.
+   * Otherwise, reads from the cached observability token.
+   */
+  private resolveAuthToken(context: TurnContext): string {
+    if (isPerRequestExportEnabled()) {
+      return context.turnState.get(A365_AUTH_TOKEN_KEY) as string ?? '';
+    }
+    const agentId = context.activity?.getAgenticInstanceId?.() ?? '';
+    const tenantId = context.activity?.getAgenticTenantId?.() ?? '';
+    if (agentId && tenantId) {
+      return AgenticTokenCacheInstance.getObservabilityToken(agentId, tenantId) ?? '';
+    }
+    return '';
+  }
+
   /**
    * Creates a send handler that wraps outgoing messages in OutputScope spans.
    * Reads parent span ref lazily so the agent handler can set it during `next()`.
diff --git a/packages/agents-a365-observability-hosting/src/utils/ScopeUtils.ts b/packages/agents-a365-observability-hosting/src/utils/ScopeUtils.ts
index e1b46201..356e24dc 100644
--- a/packages/agents-a365-observability-hosting/src/utils/ScopeUtils.ts
+++ b/packages/agents-a365-observability-hosting/src/utils/ScopeUtils.ts
@@ -16,6 +16,7 @@ import {
   InvokeAgentDetails,
   ToolCallDetails,
 } from '@microsoft/agents-a365-observability';
+import { resolveEmbodiedAgentIds } from './TurnContextUtils';
 
 /**
  * Unified utilities to populate scope tags from a TurnContext.
@@ -40,26 +41,30 @@ export class ScopeUtils {
    * @returns Tenant details if a recipient tenant id is present; otherwise undefined.
    */
   public static deriveTenantDetails(turnContext: TurnContext): TenantDetails | undefined {
-    const tenantId = turnContext?.activity?.recipient?.tenantId;
+    const tenantId = turnContext?.activity?.getAgenticTenantId?.();
     return tenantId ? { tenantId } : undefined;
   }
 
   /**
    * Derive target agent details from the activity recipient.
+   * Uses {@link resolveEmbodiedAgentIds} to resolve the agent ID and blueprint ID, which are only
+   * set for embodied (agentic) agents — see that function for the rationale.
    * @param turnContext Activity context
+   * @param authToken Auth token for resolving agent identity from token claims.
    * @returns Agent details built from recipient properties; otherwise undefined.
    */
-  public static deriveAgentDetails(turnContext: TurnContext): AgentDetails | undefined {
+  public static deriveAgentDetails(turnContext: TurnContext, authToken: string): AgentDetails | undefined {
     const recipient = turnContext?.activity?.recipient;
     if (!recipient) return undefined;
+    const { agentId, agentBlueprintId } = resolveEmbodiedAgentIds(turnContext, authToken);
     return {
-      agentId: recipient.agenticAppId,
+      agentId,
       agentName: recipient.name,
       agentAUID: recipient.aadObjectId,
-      agentBlueprintId: recipient.agenticAppBlueprintId,
-      agentUPN: recipient.agenticUserId,
+      agentBlueprintId,
+      agentUPN: turnContext?.activity?.getAgenticUser?.(),
       agentDescription: recipient.role,
-      tenantId: recipient.tenantId
+      tenantId: turnContext?.activity?.getAgenticTenantId?.()
     } as AgentDetails;
   }
 
@@ -127,6 +132,7 @@ export class ScopeUtils {
    * Also records input messages from the context if present.
    * @param details The inference call details (model, provider, tokens, etc.).
    * @param turnContext The current activity context to derive scope parameters from.
+   * @param authToken Auth token for resolving agent identity from token claims.
    * @param startTime Optional explicit start time (ms epoch, Date, or HrTime).
    * @param endTime Optional explicit end time (ms epoch, Date, or HrTime).
    * @returns A started `InferenceScope` enriched with context-derived parameters.
@@ -134,10 +140,11 @@ export class ScopeUtils {
   static populateInferenceScopeFromTurnContext(
     details: InferenceDetails,
     turnContext: TurnContext,
+    authToken: string,
     startTime?: TimeInput,
     endTime?: TimeInput
   ): InferenceScope {
-    const agent = ScopeUtils.deriveAgentDetails(turnContext);
+    const agent = ScopeUtils.deriveAgentDetails(turnContext, authToken);
     const tenant = ScopeUtils.deriveTenantDetails(turnContext);
     const conversationId = ScopeUtils.deriveConversationId(turnContext);
     const sourceMetadata = ScopeUtils.deriveSourceMetadataObject(turnContext);
@@ -161,6 +168,7 @@ export class ScopeUtils {
    * Also sets execution type and input messages from the context if present.
    * @param details The invoke-agent call details to be augmented and used for the scope.
    * @param turnContext The current activity context to derive scope parameters from.
+   * @param authToken Auth token for resolving agent identity from token claims.
    * @param startTime Optional explicit start time (ms epoch, Date, or HrTime).
    * @param endTime Optional explicit end time (ms epoch, Date, or HrTime).
    * @returns A started `InvokeAgentScope` enriched with context-derived parameters.
@@ -168,13 +176,14 @@ export class ScopeUtils {
   static populateInvokeAgentScopeFromTurnContext(
     details: InvokeAgentDetails,
     turnContext: TurnContext,
+    authToken: string,
     startTime?: TimeInput,
     endTime?: TimeInput
   ): InvokeAgentScope {
     const tenant = ScopeUtils.deriveTenantDetails(turnContext);
     const callerAgent = ScopeUtils.deriveCallerAgent(turnContext);
     const caller = ScopeUtils.deriveCallerDetails(turnContext);
-    const invokeAgentDetails = ScopeUtils.buildInvokeAgentDetails(details, turnContext);
+    const invokeAgentDetails = ScopeUtils.buildInvokeAgentDetailsCore(details, turnContext, authToken);
 
     if (!tenant) {
       throw new Error('populateInvokeAgentScopeFromTurnContext: Missing tenant details on TurnContext (recipient)');
@@ -189,10 +198,15 @@ export class ScopeUtils {
    * Build InvokeAgentDetails by merging provided details with agent info, conversation id and source metadata from the TurnContext.
    * @param details Base invoke-agent details to augment
    * @param turnContext Activity context
+   * @param authToken Auth token for resolving agent identity from token claims.
    * @returns New InvokeAgentDetails suitable for starting an InvokeAgentScope.
    */
-  public static buildInvokeAgentDetails(details: InvokeAgentDetails, turnContext: TurnContext): InvokeAgentDetails {
-    const agent = ScopeUtils.deriveAgentDetails(turnContext);
+  public static buildInvokeAgentDetails(details: InvokeAgentDetails, turnContext: TurnContext, authToken: string): InvokeAgentDetails {
+    return ScopeUtils.buildInvokeAgentDetailsCore(details, turnContext, authToken);
+  }
+
+  private static buildInvokeAgentDetailsCore(details: InvokeAgentDetails, turnContext: TurnContext, authToken: string): InvokeAgentDetails {
+    const agent = ScopeUtils.deriveAgentDetails(turnContext, authToken);
     const srcMetaFromContext = ScopeUtils.deriveSourceMetadataObject(turnContext);
     const baseRequest = details.request ?? {};
     const baseSource = baseRequest.sourceMetadata ?? {};
@@ -217,6 +231,7 @@ export class ScopeUtils {
    * Derives `agentDetails`, `tenantDetails`, `conversationId`, and `sourceMetadata` (channel name/link) from context.
    * @param details The tool call details (name, type, args, call id, etc.).
    * @param turnContext The current activity context to derive scope parameters from.
+   * @param authToken Auth token for resolving agent identity from token claims.
    * @param startTime Optional explicit start time (ms epoch, Date, or HrTime). Useful when recording a
    *        tool call after execution has already completed.
    * @param endTime Optional explicit end time (ms epoch, Date, or HrTime).
@@ -225,10 +240,11 @@ export class ScopeUtils {
   static populateExecuteToolScopeFromTurnContext(
     details: ToolCallDetails,
     turnContext: TurnContext,
+    authToken: string,
     startTime?: TimeInput,
     endTime?: TimeInput
   ): ExecuteToolScope {
-    const agent = ScopeUtils.deriveAgentDetails(turnContext);
+    const agent = ScopeUtils.deriveAgentDetails(turnContext, authToken);
     const tenant = ScopeUtils.deriveTenantDetails(turnContext);
     const conversationId = ScopeUtils.deriveConversationId(turnContext);
     const sourceMetadata = ScopeUtils.deriveSourceMetadataObject(turnContext);
diff --git a/packages/agents-a365-observability-hosting/src/utils/TurnContextUtils.ts b/packages/agents-a365-observability-hosting/src/utils/TurnContextUtils.ts
index 981d4ead..af55ccde 100644
--- a/packages/agents-a365-observability-hosting/src/utils/TurnContextUtils.ts
+++ b/packages/agents-a365-observability-hosting/src/utils/TurnContextUtils.ts
@@ -6,6 +6,7 @@
 import { TurnContext } from '@microsoft/agents-hosting';
 import { ExecutionType, OpenTelemetryConstants } from '@microsoft/agents-a365-observability';
 import {RoleTypes} from '@microsoft/agents-activity';
+import { Utility as RuntimeUtility } from '@microsoft/agents-a365-runtime';
 
 /**
  * TurnContext utility methods.
@@ -64,17 +65,37 @@ export function getExecutionTypePair(turnContext: TurnContext): Array<[string, s
   return [[OpenTelemetryConstants.GEN_AI_EXECUTION_TYPE_KEY, executionType]];
 }
 
+/**
+ * Resolves the agent instance ID and blueprint ID for embodied (agentic) agents only.
+ * For the non-embodied agent case, we cannot reliably determine whether the token contains an app ID,
+ * or whether the app ID present in the token claims actually corresponds to this agent. Therefore,
+ * we only set agentId and agentBlueprintId for embodied (agentic) agents.
+ * @param turnContext Activity context
+ * @param authToken Auth token for resolving blueprint ID from token claims.
+ * @returns Object with agentId and agentBlueprintId, both undefined for non-embodied agents.
+ */
+export function resolveEmbodiedAgentIds(turnContext: TurnContext, authToken: string): { agentId: string | undefined; agentBlueprintId: string | undefined } {
+  const isAgentic = turnContext?.activity?.isAgenticRequest?.();
+  const rawAgentId = isAgentic ? turnContext.activity.getAgenticInstanceId?.() : undefined;
+  const rawBlueprintId = isAgentic ? RuntimeUtility.getAgentIdFromToken(authToken) : undefined;
+  return {
+    agentId: rawAgentId || undefined,
+    agentBlueprintId: rawBlueprintId || undefined,
+  };
+}
+
 /**
  * Extracts agent/recipient-related OpenTelemetry baggage pairs from the TurnContext.
  * @param turnContext The current TurnContext (activity context)
+ * @param authToken Optional auth token for resolving agent blueprint ID from token claims.
  * @returns Array of [key, value] pairs for agent identity and description
  */
-export function getTargetAgentBaggagePairs(turnContext: TurnContext): Array<[string, string]> {
-  if (!turnContext || !turnContext.activity?.recipient) { 
+export function getTargetAgentBaggagePairs(turnContext: TurnContext, authToken?: string): Array<[string, string]> {
+  if (!turnContext || !turnContext.activity?.recipient) {
     return [];
   }
-  const recipient = turnContext.activity.recipient; 
-  const agentId = recipient.agenticAppId;
+  const recipient = turnContext.activity.recipient;
+  const { agentId } = authToken ? resolveEmbodiedAgentIds(turnContext, authToken) : { agentId: turnContext.activity?.isAgenticRequest?.() ? turnContext.activity.getAgenticInstanceId?.() : undefined };
   const agentName = recipient.name;
   const aadObjectId = recipient.aadObjectId;
   const agentDescription  = recipient.role;
@@ -88,29 +109,12 @@ export function getTargetAgentBaggagePairs(turnContext: TurnContext): Array<[str
 }
 
 /**
- * Extracts the tenant ID baggage key-value pair, attempting to retrieve from ChannelData if necessary.
+ * Extracts the tenant ID baggage key-value pair using the Activity's getAgenticTenantId() helper.
  * @param turnContext The current TurnContext (activity context)
  * @returns Array of [key, value] for tenant ID
  */
 export function getTenantIdPair(turnContext: TurnContext): Array<[string, string]> {
-   let tenantId = turnContext.activity?.recipient?.tenantId;
-
-
-  // If not found, try to extract from channelData. Accepts both object and JSON string.
-  if (!tenantId && turnContext.activity?.channelData) {
-    try {
-      let channelData: unknown = turnContext.activity.channelData;
-      if (typeof channelData === 'string') {
-        channelData = JSON.parse(channelData);
-      }
-      if (
-        typeof channelData === 'object' && channelData !== null) {
-        tenantId = (channelData as { tenant: { id?: string } })?.tenant?.id;
-      }
-    } catch (_err) {
-      // ignore JSON parse errors
-    }
-  }
+  const tenantId = turnContext.activity?.getAgenticTenantId?.();
   return tenantId ? [[OpenTelemetryConstants.TENANT_ID_KEY, tenantId]] : [];
 }
 
diff --git a/packages/agents-a365-observability/src/index.ts b/packages/agents-a365-observability/src/index.ts
index b2131b64..b45f86d7 100644
--- a/packages/agents-a365-observability/src/index.ts
+++ b/packages/agents-a365-observability/src/index.ts
@@ -56,5 +56,8 @@ export { OutputScope } from './tracing/scopes/OutputScope';
 export { logger, setLogger, getLogger, resetLogger, formatError } from './utils/logging';
 export type { ILogger } from './utils/logging';
 
+// Exporter utilities
+export { isPerRequestExportEnabled } from './tracing/exporter/utils';
+
 // Configuration
 export * from './configuration';
diff --git a/pnpm-lock.yaml b/pnpm-lock.yaml
index 23cccb37..7cf4f654 100644
--- a/pnpm-lock.yaml
+++ b/pnpm-lock.yaml
@@ -31,11 +31,11 @@ catalogs:
       specifier: ^1.1.1
       version: 1.1.1
     '@microsoft/agents-activity':
-      specifier: ^1.1.0-alpha.85
-      version: 1.1.0-alpha.85
+      specifier: ^1.3.1
+      version: 1.3.1
     '@microsoft/agents-hosting':
-      specifier: ^1.1.0-alpha.85
-      version: 1.1.0-alpha.85
+      specifier: ^1.3.1
+      version: 1.3.1
     '@modelcontextprotocol/sdk':
       specifier: ^1.25.2
       version: 1.25.2
@@ -69,6 +69,9 @@ catalogs:
     '@opentelemetry/semantic-conventions':
       specifier: ^1.37.0
       version: 1.38.0
+    '@types/express':
+      specifier: ^5.0.0
+      version: 5.0.6
     '@types/jest':
       specifier: ^30.0.0
       version: 30.0.0
@@ -173,10 +176,10 @@ importers:
         version: link:../agents-a365-runtime
       '@microsoft/agents-activity':
         specifier: 'catalog:'
-        version: 1.1.0-alpha.85
+        version: 1.3.1
       '@microsoft/agents-hosting':
         specifier: 'catalog:'
-        version: 1.1.0-alpha.85
+        version: 1.3.1
     devDependencies:
       '@eslint/js':
         specifier: 'catalog:'
@@ -393,7 +396,7 @@ importers:
         version: link:../agents-a365-runtime
       '@microsoft/agents-hosting':
         specifier: 'catalog:'
-        version: 1.1.0-alpha.85
+        version: 1.3.1
       '@opentelemetry/api':
         specifier: 'catalog:'
         version: 1.9.0
@@ -439,7 +442,7 @@ importers:
         version: 4.13.0
       '@microsoft/agents-hosting':
         specifier: 'catalog:'
-        version: 1.1.0-alpha.85
+        version: 1.3.1
       jsonwebtoken:
         specifier: 'catalog:'
         version: 9.0.3
@@ -488,7 +491,7 @@ importers:
         version: link:../agents-a365-runtime
       '@microsoft/agents-hosting':
         specifier: 'catalog:'
-        version: 1.1.0-alpha.85
+        version: 1.3.1
       '@modelcontextprotocol/sdk':
         specifier: 'catalog:'
         version: 1.25.2(@cfworker/json-schema@4.1.1)(hono@4.11.7)(zod@4.1.13)
@@ -546,7 +549,7 @@ importers:
         version: link:../agents-a365-tooling
       '@microsoft/agents-hosting':
         specifier: 'catalog:'
-        version: 1.1.0-alpha.85
+        version: 1.3.1
       '@modelcontextprotocol/sdk':
         specifier: 'catalog:'
         version: 1.25.2(@cfworker/json-schema@4.1.1)(hono@4.11.7)(zod@4.1.13)
@@ -604,7 +607,7 @@ importers:
         version: link:../agents-a365-tooling
       '@microsoft/agents-hosting':
         specifier: 'catalog:'
-        version: 1.1.0-alpha.85
+        version: 1.3.1
       hono:
         specifier: ^4.11.7
         version: 4.11.7
@@ -662,7 +665,7 @@ importers:
         version: link:../agents-a365-tooling
       '@microsoft/agents-hosting':
         specifier: 'catalog:'
-        version: 1.1.0-alpha.85
+        version: 1.3.1
       '@openai/agents':
         specifier: 'catalog:'
         version: 0.4.2(@cfworker/json-schema@4.1.1)(hono@4.11.7)(ws@8.18.3)(zod@4.1.13)
@@ -732,7 +735,7 @@ importers:
         version: link:../packages/agents-a365-runtime
       '@microsoft/agents-hosting':
         specifier: 'catalog:'
-        version: 1.1.0-alpha.85
+        version: 1.3.1
       '@modelcontextprotocol/sdk':
         specifier: 'catalog:'
         version: 1.25.2(@cfworker/json-schema@4.1.1)(hono@4.11.7)(zod@4.1.13)
@@ -852,11 +855,11 @@ importers:
         specifier: workspace:*
         version: link:../../packages/agents-a365-tooling-extensions-langchain
       '@microsoft/agents-activity':
-        specifier: ^1.1.0-alpha.85
-        version: 1.1.0-alpha.85
+        specifier: ^1.3.1
+        version: 1.3.1
       '@microsoft/agents-hosting':
-        specifier: ^1.1.0-alpha.85
-        version: 1.1.0-alpha.85
+        specifier: ^1.3.1
+        version: 1.3.1
       dotenv:
         specifier: ^17.2.3
         version: 17.2.3
@@ -889,8 +892,8 @@ importers:
         specifier: ^0.2.18
         version: 0.2.23
       '@types/express':
-        specifier: ^4.17.21
-        version: 4.17.25
+        specifier: 'catalog:'
+        version: 5.0.6
       '@types/node':
         specifier: ^20.14.9
         version: 20.19.25
@@ -953,10 +956,18 @@ packages:
     resolution: {integrity: sha512-cNwUoCk3FF8VQ7Ln/MdcJVIv3sF73/OT86cRH81ECsydh7F4CNfIo2OAx6Cegtg8Yv75x4506wN4q+Emo6erOA==}
     engines: {node: '>=0.8.0'}
 
+  '@azure/msal-common@16.0.4':
+    resolution: {integrity: sha512-0KZ9/wbUyZN65JLAx5bGNfWjkD0kRMUgM99oSpZFg7wEOb3XcKIiHrFnIpgyc8zZ70fHodyh8JKEOel1oN24Gw==}
+    engines: {node: '>=0.8.0'}
+
   '@azure/msal-node@3.8.3':
     resolution: {integrity: sha512-Ul7A4gwmaHzYWj2Z5xBDly/W8JSC1vnKgJ898zPMZr0oSf1ah0tiL15sytjycU/PMhDZAlkWtEL1+MzNMU6uww==}
     engines: {node: '>=16'}
 
+  '@azure/msal-node@5.0.4':
+    resolution: {integrity: sha512-WbA77m68noCw4qV+1tMm5nodll34JCDF0KmrSrp9LskS0bGbgHt98ZRxq69BQK5mjMqDD5ThHJOrrGSfzPybxw==}
+    engines: {node: '>=20'}
+
   '@babel/cli@7.28.6':
     resolution: {integrity: sha512-6EUNcuBbNkj08Oj4gAZ+BUU8yLCgKzgVX4gaTh09Ya2C8ICM4P+G30g4m3akRxSYAp3A/gnWchrNst7px4/nUQ==}
     engines: {node: '>=6.9.0'}
@@ -1944,12 +1955,12 @@ packages:
     peerDependencies:
       '@langchain/core': ^1.0.0
 
-  '@microsoft/agents-activity@1.1.0-alpha.85':
-    resolution: {integrity: sha512-iMzeYFJZPSrXkhHpHesKQ1gjvCm6uyPlH0ojsNf8Z3EODCeiFsxHOahoLyzCuqzcWBYhNCcQ45aarNbeJ84HgA==}
+  '@microsoft/agents-activity@1.3.1':
+    resolution: {integrity: sha512-4k44NrfEqXiSg49ofj8geV8ylPocqDLtZKKt0PFL9BvFV0n57X3y1s/fEbsf7Fkl3+P/R2XLyMB5atEGf/eRGg==}
     engines: {node: '>=20.0.0'}
 
-  '@microsoft/agents-hosting@1.1.0-alpha.85':
-    resolution: {integrity: sha512-1Ii92EJSaQTuqjOBWUqoioClum+6Dh82uBmzoExMi3ZDJ9UTV6Kqg4W1h4PYhUZPmqIP3HLSVNvty84Gx/mqYg==}
+  '@microsoft/agents-hosting@1.3.1':
+    resolution: {integrity: sha512-570oJr93l1RcCNNaMVpOm+PgQkRgno/F65nH1aCWLIKLnw0o7iPoj+8Z5b7mnLMidg9lldVSCcf0dBxqTGE1/w==}
     engines: {node: '>=20.0.0'}
 
   '@microsoft/m365agentsplayground@0.2.23':
@@ -2329,11 +2340,11 @@ packages:
   '@types/estree@1.0.8':
     resolution: {integrity: sha512-dWHzHa2WqEXI/O1E9OjrocMTKJl2mSrEolh1Iomrv6U+JuNwaHXsXx9bLu5gG7BUWFIN0skIQJQ/L1rIex4X6w==}
 
-  '@types/express-serve-static-core@4.19.7':
-    resolution: {integrity: sha512-FvPtiIf1LfhzsaIXhv/PHan/2FeQBbtBDtfX2QfvPxdUelMDEckK08SM6nqo1MIZY3RUlfA+HV8+hFUSio78qg==}
+  '@types/express-serve-static-core@5.1.1':
+    resolution: {integrity: sha512-v4zIMr/cX7/d2BpAEX3KNKL/JrT1s43s96lLvvdTmza1oEvDudCqK9aF/djc/SWgy8Yh0h30TZx5VpzqFCxk5A==}
 
-  '@types/express@4.17.25':
-    resolution: {integrity: sha512-dVd04UKsfpINUnK0yBoYHDF3xu7xVH4BuDotC/xGuycx4CgbP48X/KF/586bcObxT0HENHXEU8Nqtu6NR+eKhw==}
+  '@types/express@5.0.6':
+    resolution: {integrity: sha512-sKYVuV7Sv9fbPIt/442koC7+IIwK5olP1KWeD88e/idgoJqDm3JV/YUiPwkoKK92ylff2MGxSz1CSjsXelx0YA==}
 
   '@types/http-errors@2.0.5':
     resolution: {integrity: sha512-r8Tayk8HJnX0FztbZN7oVqGccWgw98T/0neJphO91KkmOzug1KkofZURD4UaD5uH8AqcFLfdPErnBod0u71/qg==}
@@ -2356,9 +2367,6 @@ packages:
   '@types/jsonwebtoken@9.0.10':
     resolution: {integrity: sha512-asx5hIG9Qmf/1oStypjanR7iKTv0gXQ1Ov/jfrX6kS/EO0OFni8orbmGCn0672NHR3kXHwpAwR+B368ZGN/2rA==}
 
-  '@types/mime@1.3.5':
-    resolution: {integrity: sha512-/pyBZWSLD2n0dcHE3hq8s8ZvcETHtEuF+3E7XVt0Ig2nvsVQXdghHVcEkIWjy9A0wKfTn97a/PSDYohKIlnP/w==}
-
   '@types/ms@2.1.0':
     resolution: {integrity: sha512-GsCCIZDE/p3i96vtEqx+7dBUGXrc7zeSK3wwPHIaRThS+9OhWIXRqzs4d6k1SVU8g91DrNRWxWUGhp5KXQb2VA==}
 
@@ -2377,14 +2385,11 @@ packages:
   '@types/range-parser@1.2.7':
     resolution: {integrity: sha512-hKormJbkJqzQGhziax5PItDUTMAM9uE2XXQmM37dyd4hVM+5aVl7oVxMVUiVQn2oCQFN/LKCZdvSM0pFRqbSmQ==}
 
-  '@types/send@0.17.6':
-    resolution: {integrity: sha512-Uqt8rPBE8SY0RK8JB1EzVOIZ32uqy8HwdxCnoCOsYrvnswqmFZ/k+9Ikidlk/ImhsdvBsloHbAlewb2IEBV/Og==}
-
   '@types/send@1.2.1':
     resolution: {integrity: sha512-arsCikDvlU99zl1g69TcAB3mzZPpxgw0UQnaHeC1Nwb015xp8bknZv5rIfri9xTOcMuaVgvabfIRA7PSZVuZIQ==}
 
-  '@types/serve-static@1.15.10':
-    resolution: {integrity: sha512-tRs1dB+g8Itk72rlSI2ZrW6vZg0YrLI81iQSTkMmOqnqCaNr/8Ek4VwWcN5vZgCYWbg/JJSGBlUaYGAOP73qBw==}
+  '@types/serve-static@2.2.0':
+    resolution: {integrity: sha512-8mam4H1NHLtu7nmtalF7eyBH14QyOASmcxHhSfEoRyr0nP/YdoesEtU+uSRvMe96TW/HPTtkoKqQLl53N7UXMQ==}
 
   '@types/stack-utils@2.0.3':
     resolution: {integrity: sha512-9aEbYZ3TbYMznPdcdr3SmIrLXwC/AKZXQeCf9Pgao5CKb8CyHuEX5jzWPTkvregvhRJHcpRO6BFoGW9ycaOkYw==}
@@ -2651,8 +2656,8 @@ packages:
   asynckit@0.4.0:
     resolution: {integrity: sha512-Oei9OH4tRh0YqU3GxhX79dM/mwVgvbZJaSNaRk+bshkj0S5cfHcgYakreBjrHwatXKbz+IoIdYLxrKim2MjW0Q==}
 
-  axios@1.13.2:
-    resolution: {integrity: sha512-VPk9ebNqPcy5lRGuSlKx752IlDatOjT9paPlm8A7yOuW2Fbvp4X3JznJtT4f0GzGLLiWE9W8onz51SqLYwzGaA==}
+  axios@1.13.5:
+    resolution: {integrity: sha512-cz4ur7Vb0xS4/KUN0tPWe44eqxrIu31me+fbang3ijiNscE129POzipJJA6zniq2C/Z6sJCjMimjS8Lc/GAs8Q==}
 
   babel-jest@30.2.0:
     resolution: {integrity: sha512-0YiBEOxWqKkSQWL9nNGGEgndoeL0ZpWrbLMNL5u/Kaxrli3Eaxlt3ZtIDktEvXt4L/R9r3ODr2zKwGM/2BjxVw==}
@@ -3628,8 +3633,8 @@ packages:
   jwa@2.0.1:
     resolution: {integrity: sha512-hRF04fqJIP8Abbkq5NKGN0Bbr3JxlQ+qhZufXVr0DvujKy93ZCbXZMHDL4EOtodSbCWxOqR8MS1tXA5hwqCXDg==}
 
-  jwks-rsa@3.2.0:
-    resolution: {integrity: sha512-PwchfHcQK/5PSydeKCs1ylNym0w/SSv8a62DgHJ//7x2ZclCoinlsjAfDxAAbpoTPybOum/Jgy+vkvMmKz89Ww==}
+  jwks-rsa@3.2.2:
+    resolution: {integrity: sha512-BqTyEDV+lS8F2trk3A+qJnxV5Q9EqKCBJOPti3W97r7qTympCZjb7h2X6f2kc+0K3rsSTY1/6YG2eaXKoj497w==}
     engines: {node: '>=14'}
 
   jws@4.0.1:
@@ -4718,12 +4723,20 @@ snapshots:
 
   '@azure/msal-common@15.13.2': {}
 
+  '@azure/msal-common@16.0.4': {}
+
   '@azure/msal-node@3.8.3':
     dependencies:
       '@azure/msal-common': 15.13.2
       jsonwebtoken: 9.0.3
       uuid: 10.0.0
 
+  '@azure/msal-node@5.0.4':
+    dependencies:
+      '@azure/msal-common': 16.0.4
+      jsonwebtoken: 9.0.3
+      uuid: 10.0.0
+
   '@babel/cli@7.28.6(@babel/core@7.28.5)':
     dependencies:
       '@babel/core': 7.28.5
@@ -6034,7 +6047,7 @@ snapshots:
     transitivePeerDependencies:
       - ws
 
-  '@microsoft/agents-activity@1.1.0-alpha.85':
+  '@microsoft/agents-activity@1.3.1':
     dependencies:
       debug: 4.4.3(supports-color@5.5.0)
       uuid: 10.0.0
@@ -6042,15 +6055,16 @@ snapshots:
     transitivePeerDependencies:
       - supports-color
 
-  '@microsoft/agents-hosting@1.1.0-alpha.85':
+  '@microsoft/agents-hosting@1.3.1':
     dependencies:
       '@azure/core-auth': 1.10.1
-      '@azure/msal-node': 3.8.3
-      '@microsoft/agents-activity': 1.1.0-alpha.85
-      axios: 1.13.2
+      '@azure/msal-node': 5.0.4
+      '@microsoft/agents-activity': 1.3.1
+      axios: 1.13.5
       jsonwebtoken: 9.0.3
-      jwks-rsa: 3.2.0
+      jwks-rsa: 3.2.2
       object-path: 0.11.8
+      zod: 4.1.13
     transitivePeerDependencies:
       - debug
       - supports-color
@@ -6553,19 +6567,18 @@ snapshots:
 
   '@types/estree@1.0.8': {}
 
-  '@types/express-serve-static-core@4.19.7':
+  '@types/express-serve-static-core@5.1.1':
     dependencies:
       '@types/node': 20.19.25
       '@types/qs': 6.14.0
       '@types/range-parser': 1.2.7
       '@types/send': 1.2.1
 
-  '@types/express@4.17.25':
+  '@types/express@5.0.6':
     dependencies:
       '@types/body-parser': 1.19.6
-      '@types/express-serve-static-core': 4.19.7
-      '@types/qs': 6.14.0
-      '@types/serve-static': 1.15.10
+      '@types/express-serve-static-core': 5.1.1
+      '@types/serve-static': 2.2.0
 
   '@types/http-errors@2.0.5': {}
 
@@ -6591,8 +6604,6 @@ snapshots:
       '@types/ms': 2.1.0
       '@types/node': 20.19.25
 
-  '@types/mime@1.3.5': {}
-
   '@types/ms@2.1.0': {}
 
   '@types/node-fetch@2.6.13':
@@ -6612,20 +6623,14 @@ snapshots:
 
   '@types/range-parser@1.2.7': {}
 
-  '@types/send@0.17.6':
-    dependencies:
-      '@types/mime': 1.3.5
-      '@types/node': 20.19.25
-
   '@types/send@1.2.1':
     dependencies:
       '@types/node': 20.19.25
 
-  '@types/serve-static@1.15.10':
+  '@types/serve-static@2.2.0':
     dependencies:
       '@types/http-errors': 2.0.5
       '@types/node': 20.19.25
-      '@types/send': 0.17.6
 
   '@types/stack-utils@2.0.3': {}
 
@@ -6881,7 +6886,7 @@ snapshots:
 
   asynckit@0.4.0: {}
 
-  axios@1.13.2:
+  axios@1.13.5:
     dependencies:
       follow-redirects: 1.15.11
       form-data: 4.0.5
@@ -8085,9 +8090,8 @@ snapshots:
       ecdsa-sig-formatter: 1.0.11
       safe-buffer: 5.2.1
 
-  jwks-rsa@3.2.0:
+  jwks-rsa@3.2.2:
     dependencies:
-      '@types/express': 4.17.25
       '@types/jsonwebtoken': 9.0.10
       debug: 4.4.3(supports-color@5.5.0)
       jose: 4.15.9
diff --git a/pnpm-workspace.yaml b/pnpm-workspace.yaml
index 223985a7..a24be527 100644
--- a/pnpm-workspace.yaml
+++ b/pnpm-workspace.yaml
@@ -24,8 +24,8 @@ catalog:
   "@langchain/mcp-adapters": "^1.1.1"
 
   # Microsoft 365 Agents SDK packages
-  "@microsoft/agents-hosting": "^1.1.0-alpha.85"
-  "@microsoft/agents-activity": "^1.1.0-alpha.85"
+  "@microsoft/agents-hosting": "^1.3.1"
+  "@microsoft/agents-activity": "^1.3.1"
 
   # Hono - required peer dependency for MCP SDK and OpenAI agents
   "hono": "^4.11.7"
diff --git a/tests/observability/extension/hosting/BaggageBuilderUtils.test.ts b/tests/observability/extension/hosting/BaggageBuilderUtils.test.ts
index f6d65821..5cd977d2 100644
--- a/tests/observability/extension/hosting/BaggageBuilderUtils.test.ts
+++ b/tests/observability/extension/hosting/BaggageBuilderUtils.test.ts
@@ -9,9 +9,13 @@ import { BaggageBuilder, OpenTelemetryConstants } from '@microsoft/agents-a365-o
 describe('BaggageBuilderUtils', () => {
   const mockTurnContext = {
     activity: {
-      from: { id: 'user1', name: 'User One', agenticUserId: 'agentic-user-1', tenantId: 'tenant1', aadObjectId: 'aad-object-1', agenticAppBlueprintId: 'blueprint-123', role: 'user' },
-      recipient: { id: 'agent1', name: 'Agent One', agenticAppId: 'agent-app-1', agenticUserId: 'agentic-agent-1', tenantId: 'tenant1', aadObjectId: 'aad-object-2', role: 'agent' },
-      channelData: {},
+      from: { id: 'user1', name: 'User One', agenticUserId: 'agentic-user-1', tenantId: 'tenant1', role: 'user' },
+      recipient: { id: 'agent1', name: 'Agent One', agenticAppId: 'agent-app-1', agenticUserId: 'agentic-agent-1', tenantId: 'tenant1', role: 'agent' },
+      conversation: { id: 'conv-1', tenantId: 'tenant1' },
+      isAgenticRequest: () => true,
+      getAgenticInstanceId: () => 'agent-app-1',
+      getAgenticUser: () => 'agentic-agent-1',
+      getAgenticTenantId: () => 'tenant1',
     },
   } as any;
 
@@ -41,16 +45,16 @@ describe('BaggageBuilderUtils', () => {
     expect(result).toBe(builder);
     // Validate every expected OpenTelemetry baggage key and value
     const asObj = Object.fromEntries(capturedPairs);
-    expect(asObj[OpenTelemetryConstants.GEN_AI_CALLER_ID_KEY]).toBe('aad-object-1');
+    expect(asObj[OpenTelemetryConstants.GEN_AI_CALLER_ID_KEY]).toBeUndefined();
     expect(asObj[OpenTelemetryConstants.GEN_AI_CALLER_NAME_KEY]).toBe('User One');
     expect(asObj[OpenTelemetryConstants.GEN_AI_CALLER_UPN_KEY]).toBe('agentic-user-1');
     expect(asObj[OpenTelemetryConstants.GEN_AI_CALLER_TENANT_ID_KEY]).toBe('tenant1');
     expect(asObj[OpenTelemetryConstants.GEN_AI_AGENT_ID_KEY]).toBe('agent-app-1');
     expect(asObj[OpenTelemetryConstants.GEN_AI_AGENT_NAME_KEY]).toBe('Agent One');
-    expect(asObj[OpenTelemetryConstants.GEN_AI_AGENT_AUID_KEY]).toBe('aad-object-2');
+    expect(asObj[OpenTelemetryConstants.GEN_AI_AGENT_AUID_KEY]).toBeUndefined();
     expect(asObj[OpenTelemetryConstants.GEN_AI_AGENT_DESCRIPTION_KEY]).toBe('agent');
-    expect(asObj[OpenTelemetryConstants.GEN_AI_AGENT_BLUEPRINT_ID_KEY]).toBe('blueprint-123');
-    expect(asObj[OpenTelemetryConstants.GEN_AI_AGENT_UPN_KEY]).toBe(undefined);
+    expect(asObj[OpenTelemetryConstants.GEN_AI_AGENT_BLUEPRINT_ID_KEY]).toBeUndefined();
+    expect(asObj[OpenTelemetryConstants.GEN_AI_AGENT_UPN_KEY]).toBeUndefined();
     expect(asObj[OpenTelemetryConstants.TENANT_ID_KEY]).toBe('tenant1');
   });
 
diff --git a/tests/observability/extension/hosting/TurnContextUtils.test.ts b/tests/observability/extension/hosting/TurnContextUtils.test.ts
index f9dfcc9f..d2abf2b6 100644
--- a/tests/observability/extension/hosting/TurnContextUtils.test.ts
+++ b/tests/observability/extension/hosting/TurnContextUtils.test.ts
@@ -16,10 +16,14 @@ import { OpenTelemetryConstants, ExecutionType } from '@microsoft/agents-a365-ob
 describe('TurnContextUtils', () => {
   const mockTurnContext = {
     activity: {
-      from: { id: 'user1', name: 'User One', agenticUserId: 'agentic-user-1', tenantId: 'tenant1', role: 'agenticUser', agenticAppBlueprintId: 'blueprint-123' },
-      recipient: { id: 'agent1', name: 'Agent One', agenticAppId: 'agent-app-1', agenticUserId: 'agentic-agent-1', tenantId: 'tenant1', role: 'agenticUser', aadObjectId: 'aad-object-1' },
-      channelData: {},
+      from: { id: 'user1', name: 'User One', agenticUserId: 'agentic-user-1', tenantId: 'tenant1', role: 'agenticUser' },
+      recipient: { id: 'agent1', name: 'Agent One', agenticAppId: 'agent-app-1', agenticUserId: 'agentic-agent-1', tenantId: 'tenant1', role: 'agenticUser' },
+      conversation: { id: 'conv-1', tenantId: 'tenant1' },
       text: 'Hello world',
+      isAgenticRequest: () => true,
+      getAgenticInstanceId: () => 'agent-app-1',
+      getAgenticUser: () => 'agentic-agent-1',
+      getAgenticTenantId: () => 'tenant1',
     },
   } as any;
 
@@ -45,8 +49,8 @@ describe('TurnContextUtils', () => {
     const obj = Object.fromEntries(pairs);
     expect(obj[OpenTelemetryConstants.GEN_AI_AGENT_ID_KEY]).toBe('agent-app-1');
     expect(obj[OpenTelemetryConstants.GEN_AI_AGENT_NAME_KEY]).toBe('Agent One');
-    expect(obj[OpenTelemetryConstants.GEN_AI_AGENT_AUID_KEY]).toBe('aad-object-1');
-    expect(obj[OpenTelemetryConstants.GEN_AI_AGENT_BLUEPRINT_ID_KEY]).toBe(undefined);
+    expect(obj[OpenTelemetryConstants.GEN_AI_AGENT_AUID_KEY]).toBeUndefined();
+    expect(obj[OpenTelemetryConstants.GEN_AI_AGENT_BLUEPRINT_ID_KEY]).toBeUndefined();
   });
 
   it('should get tenant id pair', () => {
diff --git a/tests/observability/extension/hosting/baggage-middleware.test.ts b/tests/observability/extension/hosting/baggage-middleware.test.ts
index f2d1907b..10490d2b 100644
--- a/tests/observability/extension/hosting/baggage-middleware.test.ts
+++ b/tests/observability/extension/hosting/baggage-middleware.test.ts
@@ -21,6 +21,7 @@ function makeMockTurnContext(options?: {
   activityType?: string;
   activityName?: string;
 }): TurnContext {
+  const recipientTenantId = options?.recipientTenantId ?? 'tenant-123';
   const ctx: any = {
     activity: {
       type: options?.activityType,
@@ -42,8 +43,12 @@ function makeMockTurnContext(options?: {
         agenticAppBlueprintId: 'blueprint-1',
         agenticUserId: 'agent@contoso.com',
         role: 'assistant',
-        tenantId: options?.recipientTenantId ?? 'tenant-123',
+        tenantId: recipientTenantId,
       },
+      getAgenticTenantId: () => recipientTenantId,
+      getAgenticUser: () => 'agent@contoso.com',
+      getAgenticInstanceId: () => options?.recipientId ?? 'agent-1',
+      isAgenticRequest: () => false,
     },
     turnState: new Map(),
   };
@@ -97,7 +102,7 @@ describe('BaggageMiddleware', () => {
 
     expect(capturedBaggage[OpenTelemetryConstants.GEN_AI_CALLER_ID_KEY]).toBe('user-oid');
     expect(capturedBaggage[OpenTelemetryConstants.TENANT_ID_KEY]).toBe('tenant-123');
-    expect(capturedBaggage[OpenTelemetryConstants.GEN_AI_AGENT_ID_KEY]).toBe('agent-1');
+    expect(capturedBaggage[OpenTelemetryConstants.GEN_AI_AGENT_ID_KEY]).toBeUndefined();
     expect(capturedBaggage[OpenTelemetryConstants.GEN_AI_EXECUTION_SOURCE_NAME_KEY]).toBe('web');
     expect(capturedBaggage[OpenTelemetryConstants.GEN_AI_CONVERSATION_ID_KEY]).toBe('conv-001');
   });
diff --git a/tests/observability/extension/hosting/output-logging-middleware.test.ts b/tests/observability/extension/hosting/output-logging-middleware.test.ts
index 448384bb..ff883ebc 100644
--- a/tests/observability/extension/hosting/output-logging-middleware.test.ts
+++ b/tests/observability/extension/hosting/output-logging-middleware.test.ts
@@ -1,6 +1,24 @@
 // Copyright (c) Microsoft Corporation.
 // Licensed under the MIT License.
 
+// Mock isPerRequestExportEnabled before importing the middleware
+const mockIsPerRequestExportEnabled = jest.fn().mockReturnValue(false);
+jest.mock('@microsoft/agents-a365-observability', () => {
+  const actual = jest.requireActual('@microsoft/agents-a365-observability');
+  return {
+    ...actual,
+    isPerRequestExportEnabled: (...args: unknown[]) => mockIsPerRequestExportEnabled(...args),
+  };
+});
+
+// Mock AgenticTokenCacheInstance
+const mockGetObservabilityToken = jest.fn().mockReturnValue(null);
+jest.mock('../../../../packages/agents-a365-observability-hosting/src/caching/AgenticTokenCache', () => ({
+  AgenticTokenCacheInstance: {
+    getObservabilityToken: (...args: [string, string]) => mockGetObservabilityToken(...args),
+  },
+}));
+
 import { describe, it, expect, beforeAll, afterAll, beforeEach } from '@jest/globals';
 import { BasicTracerProvider, InMemorySpanExporter, SimpleSpanProcessor } from '@opentelemetry/sdk-trace-base';
 import { trace, context as otelContext } from '@opentelemetry/api';
@@ -8,7 +26,7 @@ import { AsyncLocalStorageContextManager } from '@opentelemetry/context-async-ho
 import { RoleTypes, ActivityTypes, ActivityEventNames } from '@microsoft/agents-activity';
 import type { TurnContext, SendActivitiesHandler } from '@microsoft/agents-hosting';
 
-import { OutputLoggingMiddleware, A365_PARENT_SPAN_KEY } from '../../../../packages/agents-a365-observability-hosting/src/middleware/OutputLoggingMiddleware';
+import { OutputLoggingMiddleware, A365_PARENT_SPAN_KEY, A365_AUTH_TOKEN_KEY } from '../../../../packages/agents-a365-observability-hosting/src/middleware/OutputLoggingMiddleware';
 import { OpenTelemetryConstants, ParentSpanRef } from '@microsoft/agents-a365-observability';
 
 function makeMockTurnContext(options?: {
@@ -24,6 +42,7 @@ function makeMockTurnContext(options?: {
 }): TurnContext & { _sendHandlers: SendActivitiesHandler[]; turnState: Map<string, unknown>; simulateSend: (activities: Array<{ type?: string; text?: string }>) => Promise<Array<{ id: string }>> } {
   const sendHandlers: SendActivitiesHandler[] = [];
 
+  const recipientTenantId = options?.recipientTenantId ?? 'tenant-123';
   const ctx: any = {
     activity: {
       type: options?.activityType,
@@ -45,8 +64,12 @@ function makeMockTurnContext(options?: {
         agenticAppBlueprintId: 'blueprint-1',
         agenticUserId: 'agent@contoso.com',
         role: 'assistant',
-        tenantId: options?.recipientTenantId ?? 'tenant-123',
+        tenantId: recipientTenantId,
       },
+      getAgenticTenantId: () => recipientTenantId,
+      getAgenticUser: () => 'agent@contoso.com',
+      getAgenticInstanceId: () => options?.recipientId ?? 'agent-1',
+      isAgenticRequest: () => false,
     },
     turnState: new Map(),
     onSendActivities(handler: SendActivitiesHandler) {
@@ -100,6 +123,8 @@ describe('OutputLoggingMiddleware', () => {
 
   beforeEach(() => {
     exporter.reset();
+    mockIsPerRequestExportEnabled.mockReturnValue(false);
+    mockGetObservabilityToken.mockReturnValue(null);
   });
 
   afterAll(async () => {
@@ -145,14 +170,15 @@ describe('OutputLoggingMiddleware', () => {
     const middleware = new OutputLoggingMiddleware();
 
     // Missing agent details (no recipient)
-    const ctx1: any = { activity: { text: 'Hello' }, onSendActivities: jest.fn() };
+    const ctx1: any = { activity: { text: 'Hello', isAgenticRequest: () => false, getAgenticTenantId: () => undefined, getAgenticUser: () => undefined }, turnState: new Map(), onSendActivities: jest.fn() };
     let nextCalled = false;
     await middleware.onTurn(ctx1, async () => { nextCalled = true; });
     expect(nextCalled).toBe(true);
 
     // Missing tenant details (recipient but no tenantId)
     const ctx2: any = {
-      activity: { text: 'Hello', recipient: { agenticAppId: 'agent-1', name: 'Agent' } },
+      activity: { text: 'Hello', recipient: { agenticAppId: 'agent-1', name: 'Agent' }, getAgenticTenantId: () => undefined, getAgenticUser: () => undefined, isAgenticRequest: () => false },
+      turnState: new Map(),
       onSendActivities: jest.fn(),
     };
     nextCalled = false;
@@ -280,4 +306,61 @@ describe('OutputLoggingMiddleware', () => {
       }
     });
   });
+
+  describe('resolveAuthToken', () => {
+    it('should read token from turnState when per-request export is enabled', async () => {
+      mockIsPerRequestExportEnabled.mockReturnValue(true);
+      const middleware = new OutputLoggingMiddleware();
+      const ctx = makeMockTurnContext({ text: 'Hello' });
+      ctx.turnState.set(A365_AUTH_TOKEN_KEY, 'per-request-token');
+
+      await middleware.onTurn(ctx, async () => {
+        ctx.turnState.set(A365_PARENT_SPAN_KEY, { traceId: '0af7651916cd43dd8448eb211c80319c', spanId: 'b7ad6b7169203331', traceFlags: 1 });
+        await ctx.simulateSend([{ type: 'message', text: 'Reply' }]);
+      });
+
+      expect(mockIsPerRequestExportEnabled).toHaveBeenCalled();
+      expect(mockGetObservabilityToken).not.toHaveBeenCalled();
+    });
+
+    it('should read token from cache when per-request export is disabled', async () => {
+      mockIsPerRequestExportEnabled.mockReturnValue(false);
+      mockGetObservabilityToken.mockReturnValue('cached-obs-token');
+      const middleware = new OutputLoggingMiddleware();
+      const ctx = makeMockTurnContext({ text: 'Hello', recipientId: 'agent-1', recipientTenantId: 'tenant-123' });
+
+      await middleware.onTurn(ctx, async () => {
+        ctx.turnState.set(A365_PARENT_SPAN_KEY, { traceId: '0af7651916cd43dd8448eb211c80319c', spanId: 'b7ad6b7169203331', traceFlags: 1 });
+        await ctx.simulateSend([{ type: 'message', text: 'Reply' }]);
+      });
+
+      expect(mockGetObservabilityToken).toHaveBeenCalledWith('agent-1', 'tenant-123');
+    });
+
+    it('should skip cache when per-request export is disabled and agentId is empty', async () => {
+      mockIsPerRequestExportEnabled.mockReturnValue(false);
+      const middleware = new OutputLoggingMiddleware();
+      const ctx: any = {
+        activity: {
+          text: 'Hello',
+          channelId: 'web',
+          conversation: { id: 'conv-001' },
+          from: { role: RoleTypes.User, aadObjectId: 'user-oid', name: 'User', tenantId: 't' },
+          recipient: { name: 'Agent', aadObjectId: 'oid', role: 'assistant' },
+          getAgenticTenantId: () => 'tenant-123',
+          getAgenticUser: () => 'agent@contoso.com',
+          getAgenticInstanceId: () => '',
+          isAgenticRequest: () => false,
+        },
+        turnState: new Map(),
+        onSendActivities: jest.fn(),
+      };
+
+      let nextCalled = false;
+      await middleware.onTurn(ctx, async () => { nextCalled = true; });
+
+      expect(nextCalled).toBe(true);
+      expect(mockGetObservabilityToken).not.toHaveBeenCalled();
+    });
+  });
 });
diff --git a/tests/observability/extension/hosting/scope-utils.test.ts b/tests/observability/extension/hosting/scope-utils.test.ts
index 73b5e69d..5e36e867 100644
--- a/tests/observability/extension/hosting/scope-utils.test.ts
+++ b/tests/observability/extension/hosting/scope-utils.test.ts
@@ -3,11 +3,24 @@
 // Licensed under the MIT License.
 // ------------------------------------------------------------------------------
 
+// Mock RuntimeUtility.getAgentIdFromToken so tests don't depend on real JWT parsing
+jest.mock('@microsoft/agents-a365-runtime', () => {
+  const actual = jest.requireActual('@microsoft/agents-a365-runtime');
+  return {
+    ...actual,
+    Utility: {
+      ...actual.Utility,
+      getAgentIdFromToken: () => 'test-blueprint-id',
+    },
+  };
+});
+
 import { ScopeUtils } from '../../../../packages/agents-a365-observability-hosting/src/utils/ScopeUtils';
 import { InferenceScope, InvokeAgentScope, ExecuteToolScope, OpenTelemetryConstants, ExecutionType, OpenTelemetryScope, InvokeAgentDetails } from '@microsoft/agents-a365-observability';
 import { RoleTypes } from '@microsoft/agents-activity';
 import type { TurnContext } from '@microsoft/agents-hosting';
 
+const testAuthToken = 'mock-auth-token';
 
 function makeTurnContext(
   text?: string,
@@ -20,7 +33,11 @@ function makeTurnContext(
       text: text ?? 'hello world',
       channelId: channelName ?? 'web',
       channelIdSubChannel: channelLink ?? 'https://example/channel',
-      conversation: { id: conversationId ?? 'conv-001' }
+      conversation: { id: conversationId ?? 'conv-001', tenantId: 'tenant-123' },
+      isAgenticRequest: () => true,
+      getAgenticInstanceId: () => 'agent-1',
+      getAgenticUser: () => 'agent-upn@contoso.com',
+      getAgenticTenantId: () => 'tenant-123',
     }
   };
 
@@ -35,9 +52,9 @@ function makeTurnContext(
   };
   base.activity.recipient = {
     agenticAppId: 'agent-1',
+    agenticAppBlueprintId: 'agent-blueprint-1',
     name: 'Agent One',
     aadObjectId: 'agent-oid',
-    agenticAppBlueprintId: 'agent-blueprint-1',
     agenticUserId: 'agent-upn@contoso.com',
     role: 'assistant',
     tenantId: 'tenant-123'
@@ -58,7 +75,7 @@ describe('ScopeUtils.populateFromTurnContext', () => {
   test('build InferenceScope based on turn context', () => {
     const details = { operationName: 'inference', model: 'gpt-4o', providerName: 'openai' } as any;
     const ctx = makeTurnContext('input text', 'web', 'https://web', 'conv-A');
-    const scope = ScopeUtils.populateInferenceScopeFromTurnContext(details, ctx) as InferenceScope;
+    const scope = ScopeUtils.populateInferenceScopeFromTurnContext(details, ctx, testAuthToken) as InferenceScope;
     expect(scope).toBeInstanceOf(InferenceScope);
     const calls = spy.mock.calls.map(args => [args[0], args[1]]);
     expect(calls).toEqual(
@@ -69,7 +86,7 @@ describe('ScopeUtils.populateFromTurnContext', () => {
         [OpenTelemetryConstants.GEN_AI_AGENT_NAME_KEY, 'Agent One'],
         [OpenTelemetryConstants.GEN_AI_AGENT_AUID_KEY, 'agent-oid'],
         [OpenTelemetryConstants.GEN_AI_AGENT_ID_KEY, 'agent-1'],
-        [OpenTelemetryConstants.GEN_AI_AGENT_BLUEPRINT_ID_KEY, 'agent-blueprint-1'],
+        [OpenTelemetryConstants.GEN_AI_AGENT_BLUEPRINT_ID_KEY, 'test-blueprint-id'],
         [OpenTelemetryConstants.GEN_AI_AGENT_UPN_KEY, 'agent-upn@contoso.com'],
         [OpenTelemetryConstants.GEN_AI_AGENT_DESCRIPTION_KEY, 'assistant'],
         [OpenTelemetryConstants.TENANT_ID_KEY, 'tenant-123'],
@@ -83,36 +100,36 @@ describe('ScopeUtils.populateFromTurnContext', () => {
     describe('error conditions', () => {
       test('populateInferenceScopeFromTurnContext throws when agent details are missing', () => {
         const details: any = { operationName: 'inference', model: 'm', providerName: 'prov' };
-        const ctx = makeCtx({ activity: { /* no recipient */ } as any });
-        expect(() => ScopeUtils.populateInferenceScopeFromTurnContext(details, ctx))
+        const ctx = makeCtx({ activity: { /* no recipient */ getAgenticTenantId: () => 't1' } as any });
+        expect(() => ScopeUtils.populateInferenceScopeFromTurnContext(details, ctx, testAuthToken))
           .toThrow('populateInferenceScopeFromTurnContext: Missing agent details on TurnContext (recipient)');
       });
 
       test('populateInferenceScopeFromTurnContext throws when tenant details are missing', () => {
         const details: any = { operationName: 'inference', model: 'm', providerName: 'prov' };
-        const ctx = makeCtx({ activity: { recipient: { agenticAppId: 'aid' } } as any }); // agent ok, no tenantId
-        expect(() => ScopeUtils.populateInferenceScopeFromTurnContext(details, ctx))
+        const ctx = makeCtx({ activity: { recipient: { agenticAppId: 'aid' }, isAgenticRequest: () => false, getAgenticInstanceId: () => 'aid', getAgenticUser: () => undefined, getAgenticTenantId: () => undefined } as any }); // agent ok, no tenantId
+        expect(() => ScopeUtils.populateInferenceScopeFromTurnContext(details, ctx, testAuthToken))
           .toThrow('populateInferenceScopeFromTurnContext: Missing tenant details on TurnContext (recipient)');
       });
 
       test('populateExecuteToolScopeFromTurnContext throws when agent details are missing', () => {
         const details: any = { toolName: 'tool' };
-        const ctx = makeCtx({ activity: { /* no recipient */ } as any });
-        expect(() => ScopeUtils.populateExecuteToolScopeFromTurnContext(details, ctx))
+        const ctx = makeCtx({ activity: { /* no recipient */ getAgenticTenantId: () => 't1' } as any });
+        expect(() => ScopeUtils.populateExecuteToolScopeFromTurnContext(details, ctx, testAuthToken))
           .toThrow('populateExecuteToolScopeFromTurnContext: Missing agent details on TurnContext (recipient)');
       });
 
       test('populateExecuteToolScopeFromTurnContext throws when tenant details are missing', () => {
         const details: any = { toolName: 'tool' };
-        const ctx = makeCtx({ activity: { recipient: { agenticAppId: 'aid' } } as any }); // agent ok, no tenantId
-        expect(() => ScopeUtils.populateExecuteToolScopeFromTurnContext(details, ctx))
+        const ctx = makeCtx({ activity: { recipient: { agenticAppId: 'aid' }, isAgenticRequest: () => false, getAgenticInstanceId: () => 'aid', getAgenticUser: () => undefined, getAgenticTenantId: () => undefined } as any }); // agent ok, no tenantId
+        expect(() => ScopeUtils.populateExecuteToolScopeFromTurnContext(details, ctx, testAuthToken))
           .toThrow('populateExecuteToolScopeFromTurnContext: Missing tenant details on TurnContext (recipient)');
       });
 
       test('populateInvokeAgentScopeFromTurnContext throws when tenant details are missing', () => {
         const details: InvokeAgentDetails = { agentId: 'aid' } as any;
-        const ctx = makeCtx({ activity: { recipient: { agenticAppId: 'aid' } } as any }); // no tenantId
-        expect(() => ScopeUtils.populateInvokeAgentScopeFromTurnContext(details, ctx))
+        const ctx = makeCtx({ activity: { recipient: { agenticAppId: 'aid' }, isAgenticRequest: () => false, getAgenticInstanceId: () => 'aid', getAgenticUser: () => undefined, getAgenticTenantId: () => undefined } as any }); // no tenantId
+        expect(() => ScopeUtils.populateInvokeAgentScopeFromTurnContext(details, ctx, testAuthToken))
           .toThrow('populateInvokeAgentScopeFromTurnContext: Missing tenant details on TurnContext (recipient)');
       });
     });
@@ -121,7 +138,7 @@ describe('ScopeUtils.populateFromTurnContext', () => {
     const details = { operationName: 'invoke', model: 'n/a', providerName: 'internal' } as any;
     const ctx = makeTurnContext('invoke message', 'teams', 'https://teams', 'conv-B');
     ctx.activity.from!.role = RoleTypes.AgenticUser;
-    const scope = ScopeUtils.populateInvokeAgentScopeFromTurnContext(details, ctx) as InvokeAgentScope;
+    const scope = ScopeUtils.populateInvokeAgentScopeFromTurnContext(details, ctx, testAuthToken) as InvokeAgentScope;
     expect(scope).toBeInstanceOf(InvokeAgentScope);
     const calls = spy.mock.calls.map(args => [args[0], args[1]]);
     expect(calls).toEqual(
@@ -150,7 +167,7 @@ describe('ScopeUtils.populateFromTurnContext', () => {
   test('build ExecuteToolScope based on turn context', () => {
     const details = { toolName: 'search', arguments: '{}' } as any;
     const ctx = makeTurnContext(undefined, 'cli', 'https://cli', 'conv-C');
-    const scope = ScopeUtils.populateExecuteToolScopeFromTurnContext(details, ctx) as ExecuteToolScope;
+    const scope = ScopeUtils.populateExecuteToolScopeFromTurnContext(details, ctx, testAuthToken) as ExecuteToolScope;
     expect(scope).toBeInstanceOf(ExecuteToolScope);
     const calls = spy.mock.calls.map(args => [args[0], args[1]]);
     expect(calls).toEqual(
@@ -174,23 +191,23 @@ function makeCtx(partial: Partial<TurnContext>): TurnContext {
   return partial as unknown as TurnContext;
 }
 
-test('deriveTenantDetails prefers recipient.tenantId', () => {
-  const ctx = makeCtx({ activity: { recipient: { tenantId: 't-rec' }, from: { tenantId: 't-from' } } as any });
+test('deriveTenantDetails returns tenantId from getAgenticTenantId()', () => {
+  const ctx = makeCtx({ activity: { getAgenticTenantId: () => 't-rec' } as any });
   expect(ScopeUtils.deriveTenantDetails(ctx)).toEqual({ tenantId: 't-rec' });
 });
 
-test('deriveTenantDetails returns undefined when only from.tenantId is present', () => {
-  const ctx = makeCtx({ activity: { from: { tenantId: 't-from' } } as any });
+test('deriveTenantDetails returns undefined when getAgenticTenantId() returns undefined', () => {
+  const ctx = makeCtx({ activity: { getAgenticTenantId: () => undefined } as any });
   expect(ScopeUtils.deriveTenantDetails(ctx)).toBeUndefined();
 });
 
 test('deriveAgentDetails maps recipient fields to AgentDetails', () => {
-  const ctx = makeCtx({ activity: { recipient: { agenticAppId: 'aid', name: 'A', aadObjectId: 'auid', agenticAppBlueprintId: 'bp1', agenticUserId: 'upn1', role: 'bot', tenantId: 't1' } } as any });
-  expect(ScopeUtils.deriveAgentDetails(ctx)).toEqual({
-    agentId: 'aid',
+  const ctx = makeCtx({ activity: { recipient: { name: 'A', aadObjectId: 'auid', role: 'bot' }, isAgenticRequest: () => false, getAgenticInstanceId: () => 'aid', getAgenticUser: () => 'upn1', getAgenticTenantId: () => 't1' } as any });
+  expect(ScopeUtils.deriveAgentDetails(ctx, testAuthToken)).toEqual({
+    agentId: undefined,
     agentName: 'A',
     agentAUID: 'auid',
-    agentBlueprintId: 'bp1',
+    agentBlueprintId: undefined,
     agentUPN: 'upn1',
     agentDescription: 'bot',
     tenantId: 't1',
@@ -199,7 +216,7 @@ test('deriveAgentDetails maps recipient fields to AgentDetails', () => {
 
 test('deriveAgentDetails returns undefined without recipient', () => {
   const ctx = makeCtx({ activity: {} as any });
-  expect(ScopeUtils.deriveAgentDetails(ctx)).toBeUndefined();
+  expect(ScopeUtils.deriveAgentDetails(ctx, testAuthToken)).toBeUndefined();
 });
 
 test('deriveCallerAgent maps from fields to caller AgentDetails', () => {
@@ -262,15 +279,19 @@ test('buildInvokeAgentDetails merges agent (recipient), conversationId, sourceMe
   };
   const ctx = makeCtx({
     activity: {
-      recipient: { agenticAppId: 'rec-agent', name: 'Rec', aadObjectId: 'auid', role: 'bot', tenantId: 'tX' },
+      recipient: { name: 'Rec', role: 'bot' },
       conversation: { id: 'c-2' },
       channelId: 'web',
       channelIdSubChannel: 'inbox',
+      isAgenticRequest: () => false,
+      getAgenticInstanceId: () => 'rec-agent',
+      getAgenticUser: () => undefined,
+      getAgenticTenantId: () => 'tX',
     } as any
   });
 
-  const result = ScopeUtils.buildInvokeAgentDetails(invokeAgentDetails, ctx);
-  expect(result.agentId).toBe('rec-agent');
+  const result = ScopeUtils.buildInvokeAgentDetails(invokeAgentDetails, ctx, testAuthToken);
+  expect(result.agentId).toBeUndefined();
   expect(result.conversationId).toBe('c-2');
   expect(result.request?.sourceMetadata).toEqual({ id: 'orig-id', name: 'web', description: 'inbox' });
 });
@@ -281,7 +302,7 @@ test('buildInvokeAgentDetails keeps base request when TurnContext has no overrid
     request: { content: 'hi', executionType: ExecutionType.HumanToAgent, sourceMetadata: { description: 'keep', name: 'keep-name' }},
   };
   const ctx = makeCtx({ activity: {} as any });
-  const result = ScopeUtils.buildInvokeAgentDetails(invokeAgentDetails, ctx);
+  const result = ScopeUtils.buildInvokeAgentDetails(invokeAgentDetails, ctx, testAuthToken);
   expect(result.agentId).toBe('base-agent');
   expect(result.conversationId).toBeUndefined();
   expect(result.request?.sourceMetadata).toEqual({ description: 'keep', name: 'keep-name' });