diff --git a/python/CHANGELOG.md b/python/CHANGELOG.md
index 7b96361d3a..c1099e7ba7 100644
--- a/python/CHANGELOG.md
+++ b/python/CHANGELOG.md
@@ -7,6 +7,22 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 
 ## [Unreleased]
 
+## [1.0.0b260107] - 2026-01-07
+
+### Added
+
+- **agent-framework-devui**: Improve DevUI and add Context Inspector view as a new tab under traces ([#2742](https://github.com/microsoft/agent-framework/pull/2742)) by @victordibia
+- **samples**: Add streaming sample for Azure Functions ([#3057](https://github.com/microsoft/agent-framework/pull/3057)) by @gavin-aguiar
+
+### Changed
+
+- **repo**: Update templates ([#3106](https://github.com/microsoft/agent-framework/pull/3106)) by @eavanvalkenburg
+
+### Fixed
+
+- **agent-framework-ag-ui**: Fix MCP tool result serialization for list[TextContent] ([#2523](https://github.com/microsoft/agent-framework/pull/2523)) by @claude89757
+- **agent-framework-azure-ai**: Fix response_format handling for structured outputs ([#3114](https://github.com/microsoft/agent-framework/pull/3114)) by @moonbox3
+
 ## [1.0.0b260106] - 2026-01-06
 
 ### Added
@@ -445,7 +461,8 @@ and this project adheres to [Semantic Versioning](https://semver.org/spec/v2.0.0
 
 For more information, see the [announcement blog post](https://devblogs.microsoft.com/foundry/introducing-microsoft-agent-framework-the-open-source-engine-for-agentic-ai-apps/).
 
-[Unreleased]: https://github.com/microsoft/agent-framework/compare/python-1.0.0b260106...HEAD
+[Unreleased]: https://github.com/microsoft/agent-framework/compare/python-1.0.0b260107...HEAD
+[1.0.0b260107]: https://github.com/microsoft/agent-framework/compare/python-1.0.0b260106...python-1.0.0b260107
 [1.0.0b260106]: https://github.com/microsoft/agent-framework/compare/python-1.0.0b251223...python-1.0.0b260106
 [1.0.0b251223]: https://github.com/microsoft/agent-framework/compare/python-1.0.0b251218...python-1.0.0b251223
 [1.0.0b251218]: https://github.com/microsoft/agent-framework/compare/python-1.0.0b251216...python-1.0.0b251218
diff --git a/python/packages/a2a/pyproject.toml b/python/packages/a2a/pyproject.toml
index f9e5ef1d70..b9935fb9c3 100644
--- a/python/packages/a2a/pyproject.toml
+++ b/python/packages/a2a/pyproject.toml
@@ -4,7 +4,7 @@ description = "A2A integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/ag-ui/pyproject.toml b/python/packages/ag-ui/pyproject.toml
index 10fdc1018e..10f3e19e40 100644
--- a/python/packages/ag-ui/pyproject.toml
+++ b/python/packages/ag-ui/pyproject.toml
@@ -1,6 +1,6 @@
 [project]
 name = "agent-framework-ag-ui"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 description = "AG-UI protocol integration for Agent Framework"
 readme = "README.md"
 license-files = ["LICENSE"]
diff --git a/python/packages/anthropic/pyproject.toml b/python/packages/anthropic/pyproject.toml
index 47b0c5fc6d..73528ccfec 100644
--- a/python/packages/anthropic/pyproject.toml
+++ b/python/packages/anthropic/pyproject.toml
@@ -4,7 +4,7 @@ description = "Anthropic integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/azure-ai-search/pyproject.toml b/python/packages/azure-ai-search/pyproject.toml
index ca39970717..3c782022a6 100644
--- a/python/packages/azure-ai-search/pyproject.toml
+++ b/python/packages/azure-ai-search/pyproject.toml
@@ -4,7 +4,7 @@ description = "Azure AI Search integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/azure-ai/pyproject.toml b/python/packages/azure-ai/pyproject.toml
index 4d4cee688b..37491b42e5 100644
--- a/python/packages/azure-ai/pyproject.toml
+++ b/python/packages/azure-ai/pyproject.toml
@@ -4,7 +4,7 @@ description = "Azure AI Foundry integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/azurefunctions/pyproject.toml b/python/packages/azurefunctions/pyproject.toml
index a435cb84bf..7bb68ebdf1 100644
--- a/python/packages/azurefunctions/pyproject.toml
+++ b/python/packages/azurefunctions/pyproject.toml
@@ -4,7 +4,7 @@ description = "Azure Functions integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/bedrock/pyproject.toml b/python/packages/bedrock/pyproject.toml
index 257fa3f88e..2e60e11288 100644
--- a/python/packages/bedrock/pyproject.toml
+++ b/python/packages/bedrock/pyproject.toml
@@ -4,7 +4,7 @@ description = "Amazon Bedrock integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/chatkit/pyproject.toml b/python/packages/chatkit/pyproject.toml
index a34f23afda..3fa92669f2 100644
--- a/python/packages/chatkit/pyproject.toml
+++ b/python/packages/chatkit/pyproject.toml
@@ -4,7 +4,7 @@ description = "OpenAI ChatKit integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/copilotstudio/pyproject.toml b/python/packages/copilotstudio/pyproject.toml
index b681422b3a..0ead8b437d 100644
--- a/python/packages/copilotstudio/pyproject.toml
+++ b/python/packages/copilotstudio/pyproject.toml
@@ -4,7 +4,7 @@ description = "Copilot Studio integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/core/pyproject.toml b/python/packages/core/pyproject.toml
index b6282c3b84..1b245277c0 100644
--- a/python/packages/core/pyproject.toml
+++ b/python/packages/core/pyproject.toml
@@ -4,7 +4,7 @@ description = "Microsoft Agent Framework for building AI Agents with Python. Thi
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/declarative/pyproject.toml b/python/packages/declarative/pyproject.toml
index c3064bae89..3b2e2586a9 100644
--- a/python/packages/declarative/pyproject.toml
+++ b/python/packages/declarative/pyproject.toml
@@ -4,7 +4,7 @@ description = "Declarative specification support for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/devui/pyproject.toml b/python/packages/devui/pyproject.toml
index 4be513f9d5..c48754bd09 100644
--- a/python/packages/devui/pyproject.toml
+++ b/python/packages/devui/pyproject.toml
@@ -4,7 +4,7 @@ description = "Debug UI for Microsoft Agent Framework with OpenAI-compatible API
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://github.com/microsoft/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/foundry_local/pyproject.toml b/python/packages/foundry_local/pyproject.toml
index 0dbe179587..15e61efb56 100644
--- a/python/packages/foundry_local/pyproject.toml
+++ b/python/packages/foundry_local/pyproject.toml
@@ -4,7 +4,7 @@ description = "Foundry Local integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/lab/pyproject.toml b/python/packages/lab/pyproject.toml
index 4f236db45c..f081fed620 100644
--- a/python/packages/lab/pyproject.toml
+++ b/python/packages/lab/pyproject.toml
@@ -4,7 +4,7 @@ description = "Experimental modules for Microsoft Agent Framework"
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/mem0/pyproject.toml b/python/packages/mem0/pyproject.toml
index 41a2e36c45..bc7d8330f4 100644
--- a/python/packages/mem0/pyproject.toml
+++ b/python/packages/mem0/pyproject.toml
@@ -4,7 +4,7 @@ description = "Mem0 integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/ollama/pyproject.toml b/python/packages/ollama/pyproject.toml
index 30f8cbfca6..85e42a60c8 100644
--- a/python/packages/ollama/pyproject.toml
+++ b/python/packages/ollama/pyproject.toml
@@ -4,7 +4,7 @@ description = "Ollama integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://learn.microsoft.com/en-us/agent-framework/"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/purview/pyproject.toml b/python/packages/purview/pyproject.toml
index 9ade47b1bd..5b3bfb1e06 100644
--- a/python/packages/purview/pyproject.toml
+++ b/python/packages/purview/pyproject.toml
@@ -4,7 +4,7 @@ description = "Microsoft Purview (Graph dataSecurityAndGovernance) integration f
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://github.com/microsoft/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/packages/redis/pyproject.toml b/python/packages/redis/pyproject.toml
index 1b36a7a4e5..26f55558d3 100644
--- a/python/packages/redis/pyproject.toml
+++ b/python/packages/redis/pyproject.toml
@@ -4,7 +4,7 @@ description = "Redis integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
diff --git a/python/pyproject.toml b/python/pyproject.toml
index e138cc35ec..ed98cc8020 100644
--- a/python/pyproject.toml
+++ b/python/pyproject.toml
@@ -4,7 +4,7 @@ description = "Microsoft Agent Framework for building AI Agents with Python. Thi
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
 requires-python = ">=3.10"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
 urls.source = "https://github.com/microsoft/agent-framework/tree/main/python"
@@ -23,7 +23,7 @@ classifiers = [
   "Typing :: Typed",
 ]
 dependencies = [
-    "agent-framework-core[all]==1.0.0b260106",
+    "agent-framework-core[all]==1.0.0b260107",
 ]
 
 [dependency-groups]
diff --git a/python/uv.lock b/python/uv.lock
index d84e5416a9..0ad64ed9ea 100644
--- a/python/uv.lock
+++ b/python/uv.lock
@@ -92,7 +92,7 @@ wheels = [
 
 [[package]]
 name = "agent-framework"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { virtual = "." }
 dependencies = [
     { name = "agent-framework-core", extra = ["all"], marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -159,7 +159,7 @@ docs = [
 
 [[package]]
 name = "agent-framework-a2a"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/a2a" }
 dependencies = [
     { name = "a2a-sdk", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -174,7 +174,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-ag-ui"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/ag-ui" }
 dependencies = [
     { name = "ag-ui-protocol", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -204,7 +204,7 @@ provides-extras = ["dev"]
 
 [[package]]
 name = "agent-framework-anthropic"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/anthropic" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -219,7 +219,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-azure-ai"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/azure-ai" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -238,7 +238,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-azure-ai-search"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/azure-ai-search" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -253,7 +253,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-azurefunctions"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/azurefunctions" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -278,7 +278,7 @@ dev = [{ name = "types-python-dateutil", specifier = ">=2.9.0" }]
 
 [[package]]
 name = "agent-framework-bedrock"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/bedrock" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -295,7 +295,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-chatkit"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/chatkit" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -310,7 +310,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-copilotstudio"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/copilotstudio" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -325,7 +325,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-core"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/core" }
 dependencies = [
     { name = "azure-identity", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -391,7 +391,7 @@ provides-extras = ["all"]
 
 [[package]]
 name = "agent-framework-declarative"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/declarative" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -416,7 +416,7 @@ dev = [{ name = "types-pyyaml" }]
 
 [[package]]
 name = "agent-framework-devui"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/devui" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -450,7 +450,7 @@ provides-extras = ["dev", "all"]
 
 [[package]]
 name = "agent-framework-foundry-local"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/foundry_local" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -465,7 +465,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-lab"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/lab" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -556,7 +556,7 @@ dev = [
 
 [[package]]
 name = "agent-framework-mem0"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/mem0" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -571,7 +571,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-ollama"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/ollama" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -586,7 +586,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-purview"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/purview" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -603,7 +603,7 @@ requires-dist = [
 
 [[package]]
 name = "agent-framework-redis"
-version = "1.0.0b260106"
+version = "1.0.0b260107"
 source = { editable = "packages/redis" }
 dependencies = [
     { name = "agent-framework-core", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -2839,7 +2839,7 @@ wheels = [
 
 [[package]]
 name = "jsonschema"
-version = "4.25.1"
+version = "4.26.0"
 source = { registry = "https://pypi.org/simple" }
 dependencies = [
     { name = "attrs", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
@@ -2847,9 +2847,9 @@ dependencies = [
     { name = "referencing", marker = "sys_platform == 'darwin' or sys_platform == 'linux' or sys_platform == 'win32'" },
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