// GLOSSARY -- AGENTIC AI

What is Semantic Kernel?

1 min read Updated

Semantic Kernel is Microsoft's open-source SDK for integrating LLMs into applications — providing abstractions for AI plugins, memory, and planning that enable building AI agents in C# and Python.

WHY IT MATTERS

Semantic Kernel is Microsoft's answer to LangChain — an SDK for building LLM-powered applications with a focus on enterprise integration. It provides: plugins (tools), planners (multi-step reasoning), memory (conversation and semantic), and connectors to various LLM providers.

The Microsoft ecosystem integration is Semantic Kernel's key differentiator: deep Azure AI integration, Microsoft 365 plugins, and enterprise-friendly licensing. It's the natural choice for organizations already invested in the Microsoft stack.

For agent developers, Semantic Kernel offers a more structured, enterprise-oriented framework compared to LangChain's community-driven approach.

FREQUENTLY ASKED QUESTIONS

Semantic Kernel vs LangChain?
LangChain: larger community, more flexible, Python-first. Semantic Kernel: Microsoft ecosystem, enterprise-focused, C# and Python. Choose based on your stack and organization.
Does Semantic Kernel support financial agents?
It provides the framework for building any type of agent. Financial tool plugins would need to be built or integrated. The SDK is agent-type agnostic.
Is Semantic Kernel production-ready?
Yes — it's actively maintained by Microsoft and used in production by enterprises. It has stable APIs, good documentation, and enterprise support.

FURTHER READING

Let agents act without letting them run wild.

Deterministic policy on every MCP tool call. Per-identity grants. Full audit log.

Currently onboarding teams running MCP in production.
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