diff --git a/.github/workflows/python-tests.yml b/.github/workflows/python-tests.yml
index 467aa1b7470..75cae4e11c1 100644
--- a/.github/workflows/python-tests.yml
+++ b/.github/workflows/python-tests.yml
@@ -44,8 +44,8 @@ jobs:
         with:
           python-version: ${{ matrix.python-version }}
           os: ${{ runner.os }}
-          # RedisVL still declares Python <3.15.
-          exclude-packages: ${{ matrix.python-version == '3.10' && 'agent-framework-github-copilot agent-framework-azure-cosmos-memory' || matrix.python-version == '3.15' && 'agent-framework-redis' || '' }}
+          # RedisVL still declares Python <3.15, and foundry-local-sdk 2.x supports 3.11-3.14.
+          exclude-packages: ${{ matrix.python-version == '3.10' && 'agent-framework-github-copilot agent-framework-azure-cosmos-memory agent-framework-foundry-local' || matrix.python-version == '3.15' && 'agent-framework-redis agent-framework-foundry-local' || '' }}
         env:
           # Configure a constant location for the uv cache
           UV_CACHE_DIR: /tmp/.uv-cache
diff --git a/python/packages/core/pyproject.toml b/python/packages/core/pyproject.toml
index bbcdc3c84a8..416bfc1553b 100644
--- a/python/packages/core/pyproject.toml
+++ b/python/packages/core/pyproject.toml
@@ -53,7 +53,7 @@ all = [
     "agent-framework-durabletask>=1.0.0b260922,<2",
     "agent-framework-foundry>=1.15.0,<2",
     "agent-framework-foundry-hosting>=1.0.0b261022,<2",
-    "agent-framework-foundry-local>=1.0.0b261015,<2",
+    "agent-framework-foundry-local>=1.0.0b261015,<2; python_version >= '3.11' and python_version < '3.15'",
     "agent-framework-gemini>=1.0.0b261022,<2",
     "agent-framework-github-copilot>=2.1.0,<3; python_version >= '3.11'",
     "agent-framework-hyperlight>=1.0.0b261022,<2; (sys_platform == 'linux' and platform_machine == 'x86_64') or (sys_platform == 'win32' and platform_machine == 'AMD64')",
diff --git a/python/packages/foundry_local/agent_framework_foundry_local/_foundry_local_client.py b/python/packages/foundry_local/agent_framework_foundry_local/_foundry_local_client.py
index a36647b8e35..187227d84a3 100644
--- a/python/packages/foundry_local/agent_framework_foundry_local/_foundry_local_client.py
+++ b/python/packages/foundry_local/agent_framework_foundry_local/_foundry_local_client.py
@@ -3,6 +3,7 @@
 from __future__ import annotations
 
 import sys
+import threading
 from collections.abc import Awaitable, Callable, Mapping, Sequence
 from typing import Any, ClassVar, Generic, Literal, cast, overload
 
@@ -22,8 +23,7 @@
 from agent_framework._settings import load_settings
 from agent_framework.observability import ChatTelemetryLayer
 from agent_framework_openai._chat_completion_client import RawOpenAIChatCompletionClient
-from foundry_local import FoundryLocalManager
-from foundry_local.models import DeviceType, FoundryModelInfo
+from foundry_local_sdk import Configuration, DeviceType, FoundryLocalManager, IModel
 from openai import AsyncOpenAI
 from pydantic import BaseModel
 
@@ -47,6 +47,82 @@
 
 ResponseModelT = TypeVar("ResponseModelT", bound=BaseModel | None, default=None)
 
+# The v2 SDK identifies the host application in native logs and telemetry.
+_APP_NAME = "agent-framework"
+# The built-in web service performs no authentication; the OpenAI SDK still requires a value.
+_WEB_SERVICE_API_KEY = "none"
+
+# Guards first-use initialization: without it, two threads can both observe an
+# uninitialized singleton and the SDK rejects the second `initialize()` call.
+_MANAGER_LOCK = threading.Lock()
+
+
+def _resolve_foundry_local_manager() -> FoundryLocalManager:
+    """Return the process-wide Foundry Local manager, initializing it on first use.
+
+    The v2 SDK owns a single native manager per process and raises when a second one
+    is constructed, so every client shares one manager, catalog, and web service.
+    """
+    manager = FoundryLocalManager.instance
+    if manager is not None:
+        return manager
+    with _MANAGER_LOCK:
+        # Re-check under the lock: another thread may have initialized while we waited.
+        manager = FoundryLocalManager.instance
+        if manager is None:
+            FoundryLocalManager.initialize(Configuration(app_name=_APP_NAME))
+            manager = FoundryLocalManager.instance
+            if manager is None:  # pragma: no cover - initialize() sets the singleton
+                raise RuntimeError("Foundry Local manager could not be initialized.")
+    return manager
+
+
+def _resolve_model(
+    manager: FoundryLocalManager,
+    model_setting: str,
+    *,
+    device: DeviceType | None = None,
+) -> IModel:
+    """Resolve a model alias (or a full model ID) to a catalog model.
+
+    Args:
+        manager: The Foundry Local manager owning the catalog.
+        model_setting: A model alias such as ``phi-4-mini``, or a full model ID.
+        device: When set, select the variant optimized for that device.
+
+    Returns:
+        The catalog model, with the requested variant selected when ``device`` is set.
+
+    Raises:
+        ValueError: If no model matches, or no variant matches ``device``.
+    """
+    model = manager.catalog.get_model(model_setting)
+    if model is None:
+        # An alias lookup misses for full model IDs; the variant lookup covers those.
+        model = manager.catalog.get_model_variant(model_setting)
+    not_found = (
+        f"Model with ID or alias '{model_setting}:{device.value}' not found in Foundry Local."
+        if device
+        else (f"Model with ID or alias '{model_setting}' for your current device not found in Foundry Local.")
+    )
+    if model is None:
+        raise ValueError(not_found)
+    if device is not None:
+        variant = next(
+            (
+                candidate
+                for candidate in model.variants
+                if candidate.info is not None
+                and candidate.info.runtime is not None
+                and candidate.info.runtime.device_type == device
+            ),
+            None,
+        )
+        if variant is None:
+            raise ValueError(not_found)
+        model.select_variant(variant)
+    return model
+
 
 # region Foundry Local Chat Options TypedDict
 
@@ -234,8 +310,12 @@ def __init__(
         Keyword Args:
             model: The Foundry Local model ID or alias to use. If not provided,
                 it will be loaded from the FoundryLocalSettings.
-            bootstrap: Whether to start the Foundry Local service if not already running.
-                Default is True.
+            bootstrap: Whether to start the Foundry Local web service if it is not already
+                running. Default is True. The client talks to Foundry Local over the
+                web service's OpenAI-compatible endpoint, so it needs to be running.
+                Pass False only when something else has already started it.
+                This also downloads and registers the execution providers that
+                accelerated (GPU/NPU) model variants need, unless `device` is CPU.
             timeout: Optional timeout for requests to Foundry Local.
                 This timeout is applied to any call to the Foundry Local service.
             prepare_model: Whether to download the model into the cache, and load the model into
@@ -245,7 +325,7 @@ def __init__(
             device: The device type to use for model inference.
                 The device is used to select the appropriate model variant.
                 If not provided, the default device for your system will be used.
-                The values are in the foundry_local.models.DeviceType enum.
+                The values are in the foundry_local_sdk.DeviceType enum.
             additional_properties: Additional properties stored on the client instance.
             middleware: Optional sequence of ChatAndFunctionMiddlewareTypes to apply to requests.
             function_invocation_configuration: Optional configuration for function invocation support.
@@ -272,14 +352,15 @@ def __init__(
                 os.environ["FOUNDRY_LOCAL_MODEL"] = "phi-4-mini"
                 client = FoundryLocalClient()
 
-                # A FoundryLocalManager is created and if set, the service is started.
+                # A process-wide FoundryLocalManager is created on first use and, when
+                # bootstrap is set, the web service is started.
                 # The FoundryLocalManager is available via the `manager` property.
                 # For instance to find out which models are available:
-                for model in client.manager.list_catalog_models():
-                    print(f"- {model.alias} for {model.task} - id={model.id}")
+                for model in client.manager.catalog.list_models():
+                    print(f"- {model.alias} - id={model.id}")
 
                 # Other options include specifying the device type:
-                from foundry_local.models import DeviceType
+                from foundry_local_sdk import DeviceType
 
                 client = FoundryLocalClient(
                     model="phi-4-mini",
@@ -292,10 +373,10 @@ def __init__(
                 )
                 # Beware, in this case the first request to generate a completion
                 # will take a long time as the model is loaded then.
-                # Alternatively, you could call the `download_model` and `load_model` methods
-                # on the `manager` property manually.
-                client.manager.download_model("phi-4-mini", device=DeviceType.CPU)
-                client.manager.load_model("phi-4-mini", device=DeviceType.CPU)
+                # Alternatively, you could download and load the model yourself.
+                model = client.manager.catalog.get_model("phi-4-mini")
+                model.download()
+                model.load()
 
                 # You can also use the CLI:
                 `foundry model load phi-4-mini --device Auto`
@@ -326,25 +407,32 @@ class MyOptions(FoundryLocalChatOptions, total=False):
         )
         model_setting: str = settings["model"]  # type: ignore[assignment]
 
-        manager = FoundryLocalManager(bootstrap=bootstrap, timeout=timeout)
-        model_info: FoundryModelInfo | None = manager.get_model_info(
-            model_setting,
-            device=device,
-        )
-        if model_info is None:
-            message = (
-                f"Model with ID or alias '{model_setting}:{device.value}' not found in Foundry Local."
-                if device
-                else (f"Model with ID or alias '{model_setting}' for your current device not found in Foundry Local.")
+        manager = _resolve_foundry_local_manager()
+        if bootstrap and device is not DeviceType.CPU:
+            # A variant is only listed in the catalog once its execution provider has been
+            # downloaded and registered, so on a fresh installation asking for GPU or NPU
+            # (or letting the SDK auto-select) would otherwise report "not found" or
+            # silently fall back to CPU. This is a no-op when the providers are registered.
+            manager.download_and_register_eps()
+        # The v2 SDK runs inference in-process; the optional built-in web service is what
+        # exposes the OpenAI-compatible REST endpoint this client talks to.
+        if bootstrap and not manager.urls:
+            manager.start_web_service()
+        if not manager.urls:
+            raise ValueError(
+                "The Foundry Local web service is not running, so there is no OpenAI-compatible endpoint to call. "
+                "Pass bootstrap=True (the default) to start it, or start it on the manager first."
             )
-            raise ValueError(message)
+        base_url = f"{manager.urls[0]}/v1"
+
+        model_info = _resolve_model(manager, model_setting, device=device)
         if prepare_model:
-            manager.download_model(model_info.id, device=device)
-            manager.load_model(model_info.id, device=device)
+            model_info.download()
+            model_info.load()
 
         super().__init__(
             model=model_info.id,
-            async_client=AsyncOpenAI(base_url=manager.endpoint, api_key=manager.api_key),
+            async_client=AsyncOpenAI(base_url=base_url, api_key=_WEB_SERVICE_API_KEY, timeout=timeout),
             additional_properties=additional_properties,
             middleware=middleware,
             function_invocation_configuration=function_invocation_configuration,
diff --git a/python/packages/foundry_local/pyproject.toml b/python/packages/foundry_local/pyproject.toml
index 43b56795cfd..c5b01018d34 100644
--- a/python/packages/foundry_local/pyproject.toml
+++ b/python/packages/foundry_local/pyproject.toml
@@ -3,7 +3,8 @@ name = "agent-framework-foundry-local"
 description = "Foundry Local integration for Microsoft Agent Framework."
 authors = [{ name = "Microsoft", email = "af-support@microsoft.com"}]
 readme = "README.md"
-requires-python = ">=3.10"
+# The Foundry Local SDK 2.x ships for Python 3.11-3.14 only.
+requires-python = ">=3.11"
 version = "1.0.0b261015"
 license-files = ["LICENSE"]
 urls.homepage = "https://aka.ms/agent-framework"
@@ -15,18 +16,16 @@ classifiers = [
   "Development Status :: 4 - Beta",
   "Intended Audience :: Developers",
   "Programming Language :: Python :: 3",
-  "Programming Language :: Python :: 3.10",
   "Programming Language :: Python :: 3.11",
   "Programming Language :: Python :: 3.12",
   "Programming Language :: Python :: 3.13",
   "Programming Language :: Python :: 3.14",
-  "Programming Language :: Python :: 3.15",
   "Typing :: Typed",
 ]
 dependencies = [
     "agent-framework-core>=1.13.0,<2",
     "agent-framework-openai>=1.6.0,<2",
-    "foundry-local-sdk>=0.5.1,<0.5.2",
+    "foundry-local-sdk>=2.0.0,<3",
 ]
 
 [tool.uv]
@@ -67,7 +66,7 @@ exclude = ['tests']
 [tool.mypy]
 plugins = ['pydantic.mypy']
 strict = true
-python_version = "3.10"
+python_version = "3.11"
 ignore_missing_imports = true
 disallow_untyped_defs = true
 no_implicit_optional = true
diff --git a/python/packages/foundry_local/tests/conftest.py b/python/packages/foundry_local/tests/conftest.py
index cd4356d0b56..e3a1a694ff0 100644
--- a/python/packages/foundry_local/tests/conftest.py
+++ b/python/packages/foundry_local/tests/conftest.py
@@ -42,14 +42,24 @@ def foundry_local_unit_test_env(monkeypatch: Any, exclude_list: list[str], overr
 
 
 @fixture
-def mock_foundry_local_manager() -> MagicMock:
+def mock_foundry_local_model() -> MagicMock:
+    """Fixture that provides a mock catalog model."""
+    mock_model = MagicMock()
+    mock_model.id = "test-model-id"
+    mock_model.alias = "test-model"
+    mock_model.variants = []
+
+    return mock_model
+
+
+@fixture
+def mock_foundry_local_manager(mock_foundry_local_model: MagicMock) -> MagicMock:
     """Fixture that provides a mock FoundryLocalManager."""
     mock_manager = MagicMock()
-    mock_manager.endpoint = "http://localhost:5272/v1"
-    mock_manager.api_key = "test-api-key"
-
-    mock_model_info = MagicMock()
-    mock_model_info.id = "test-model-id"
-    mock_manager.get_model_info.return_value = mock_model_info
+    # ``urls`` is populated by ``start_web_service()``; model a service that is already up.
+    mock_manager.urls = ["http://localhost:5272"]
+    mock_manager.catalog.get_model.return_value = mock_foundry_local_model
+    # An alias lookup is the primary path; leave the model-ID fallback empty by default.
+    mock_manager.catalog.get_model_variant.return_value = None
 
     return mock_manager
diff --git a/python/packages/foundry_local/tests/test_foundry_local_client.py b/python/packages/foundry_local/tests/test_foundry_local_client.py
index 2ba5e9d89c0..2d30dec0000 100644
--- a/python/packages/foundry_local/tests/test_foundry_local_client.py
+++ b/python/packages/foundry_local/tests/test_foundry_local_client.py
@@ -1,6 +1,8 @@
 # Copyright (c) Microsoft. All rights reserved.
 
 import inspect
+import threading
+import time
 from unittest.mock import MagicMock, patch
 
 import pytest
@@ -8,9 +10,13 @@
 from agent_framework._settings import load_settings
 from agent_framework.exceptions import SettingNotFoundError
 from agent_framework.foundry import FoundryLocalClient
+from foundry_local_sdk import DeviceType
 
 from agent_framework_foundry_local._feature_usage import FeatureIndex
-from agent_framework_foundry_local._foundry_local_client import FoundryLocalSettings
+from agent_framework_foundry_local._foundry_local_client import (
+    FoundryLocalSettings,
+    _resolve_foundry_local_manager,
+)
 
 # Settings Tests
 
@@ -62,7 +68,7 @@ def test_foundry_local_settings_explicit_overrides_env(foundry_local_unit_test_e
 def test_foundry_local_client_init(mock_foundry_local_manager: MagicMock) -> None:
     """Test FoundryLocalClient initialization with mocked manager."""
     with patch(
-        "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
         return_value=mock_foundry_local_manager,
     ):
         client = FoundryLocalClient(model="test-model-id")
@@ -74,7 +80,7 @@ def test_foundry_local_client_init(mock_foundry_local_manager: MagicMock) -> Non
 
 def test_agent_accepts_foundry_local_client(mock_foundry_local_manager: MagicMock) -> None:
     with patch(
-        "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
         return_value=mock_foundry_local_manager,
     ):
         client = FoundryLocalClient(model="test-model-id")
@@ -93,40 +99,80 @@ def test_foundry_local_client_get_response_uses_explicit_runtime_buckets() -> No
 
 
 def test_foundry_local_client_init_with_bootstrap_false(mock_foundry_local_manager: MagicMock) -> None:
-    """Test FoundryLocalClient initialization with bootstrap=False."""
+    """Test that bootstrap=False leaves an already running web service alone."""
     with patch(
-        "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
         return_value=mock_foundry_local_manager,
-    ) as mock_manager_class:
+    ):
         FoundryLocalClient(model="test-model-id", bootstrap=False)
 
-        mock_manager_class.assert_called_once_with(
-            bootstrap=False,
-            timeout=None,
-        )
+        mock_foundry_local_manager.start_web_service.assert_not_called()
+
+
+def test_foundry_local_client_starts_web_service_when_not_running(mock_foundry_local_manager: MagicMock) -> None:
+    """Test that bootstrap=True starts the web service when it is not already up."""
+    mock_foundry_local_manager.urls = None
+
+    def _start() -> None:
+        mock_foundry_local_manager.urls = ["http://localhost:5272"]
+
+    mock_foundry_local_manager.start_web_service.side_effect = _start
+
+    with patch(
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
+        return_value=mock_foundry_local_manager,
+    ):
+        FoundryLocalClient(model="test-model-id")
+
+        mock_foundry_local_manager.start_web_service.assert_called_once_with()
+
+
+def test_foundry_local_client_requires_endpoint_when_bootstrap_false(mock_foundry_local_manager: MagicMock) -> None:
+    """Test that a client without a running web service fails with an actionable error."""
+    mock_foundry_local_manager.urls = None
+
+    with (
+        patch(
+            "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
+            return_value=mock_foundry_local_manager,
+        ),
+        pytest.raises(ValueError, match="web service is not running"),
+    ):
+        FoundryLocalClient(model="test-model-id", bootstrap=False)
+
+
+def test_foundry_local_client_uses_web_service_base_url(mock_foundry_local_manager: MagicMock) -> None:
+    """Test that the OpenAI client points at the web service's OpenAI-compatible route."""
+    mock_foundry_local_manager.urls = ["http://localhost:5272"]
+
+    with patch(
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
+        return_value=mock_foundry_local_manager,
+    ):
+        client = FoundryLocalClient(model="test-model-id")
+
+        # httpx normalizes the base URL with a trailing slash.
+        assert str(client.client.base_url).rstrip("/") == "http://localhost:5272/v1"
 
 
 def test_foundry_local_client_init_with_timeout(mock_foundry_local_manager: MagicMock) -> None:
     """Test FoundryLocalClient initialization with custom timeout."""
     with patch(
-        "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
         return_value=mock_foundry_local_manager,
-    ) as mock_manager_class:
-        FoundryLocalClient(model="test-model-id", timeout=60.0)
+    ):
+        client = FoundryLocalClient(model="test-model-id", timeout=60.0)
 
-        mock_manager_class.assert_called_once_with(
-            bootstrap=True,
-            timeout=60.0,
-        )
+        assert client.client.timeout == 60.0
 
 
 def test_foundry_local_client_init_model_not_found(mock_foundry_local_manager: MagicMock) -> None:
     """Test FoundryLocalClient initialization when model is not found."""
-    mock_foundry_local_manager.get_model_info.return_value = None
+    mock_foundry_local_manager.catalog.get_model.return_value = None
 
     with (
         patch(
-            "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+            "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
             return_value=mock_foundry_local_manager,
         ),
         pytest.raises(ValueError, match="not found in Foundry Local"),
@@ -134,14 +180,29 @@ def test_foundry_local_client_init_model_not_found(mock_foundry_local_manager: M
         FoundryLocalClient(model="unknown-model")
 
 
-def test_foundry_local_client_uses_model_info_id(mock_foundry_local_manager: MagicMock) -> None:
-    """Test that client uses the model ID from model_info, not the alias."""
-    mock_model_info = MagicMock()
-    mock_model_info.id = "resolved-model-id"
-    mock_foundry_local_manager.get_model_info.return_value = mock_model_info
+def test_foundry_local_client_resolves_full_model_id(mock_foundry_local_manager: MagicMock) -> None:
+    """Test that a full model ID resolves through the variant lookup when the alias misses."""
+    variant = MagicMock()
+    variant.id = "test-model-id-generic-cpu:1"
+    mock_foundry_local_manager.catalog.get_model.return_value = None
+    mock_foundry_local_manager.catalog.get_model_variant.return_value = variant
+
+    with patch(
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
+        return_value=mock_foundry_local_manager,
+    ):
+        client = FoundryLocalClient(model="test-model-id-generic-cpu:1")
+
+        mock_foundry_local_manager.catalog.get_model_variant.assert_called_once_with("test-model-id-generic-cpu:1")
+        assert client.model == "test-model-id-generic-cpu:1"
+
+
+def test_foundry_local_client_uses_model_id(mock_foundry_local_manager: MagicMock) -> None:
+    """Test that client uses the model ID from the catalog, not the alias."""
+    mock_foundry_local_manager.catalog.get_model.return_value.id = "resolved-model-id"
 
     with patch(
-        "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
         return_value=mock_foundry_local_manager,
     ):
         client = FoundryLocalClient(model="model-alias")
@@ -153,8 +214,10 @@ def test_foundry_local_client_init_from_env(
     foundry_local_unit_test_env: dict[str, str], mock_foundry_local_manager: MagicMock
 ) -> None:
     """Test FoundryLocalClient initialization using environment variables."""
+    mock_foundry_local_manager.catalog.get_model.return_value.id = foundry_local_unit_test_env["FOUNDRY_LOCAL_MODEL"]
+
     with patch(
-        "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
         return_value=mock_foundry_local_manager,
     ):
         client = FoundryLocalClient()
@@ -162,39 +225,36 @@ def test_foundry_local_client_init_from_env(
         assert client.model == foundry_local_unit_test_env["FOUNDRY_LOCAL_MODEL"]
 
 
-def test_foundry_local_client_init_with_device(mock_foundry_local_manager: MagicMock) -> None:
+def test_foundry_local_client_init_with_device(
+    mock_foundry_local_manager: MagicMock, mock_foundry_local_model: MagicMock
+) -> None:
     """Test FoundryLocalClient initialization with device parameter."""
-    from foundry_local.models import DeviceType
+    cpu_variant = MagicMock()
+    cpu_variant.info.runtime.device_type = DeviceType.CPU
+    gpu_variant = MagicMock()
+    gpu_variant.info.runtime.device_type = DeviceType.GPU
+    mock_foundry_local_model.variants = [cpu_variant, gpu_variant]
 
     with patch(
-        "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
         return_value=mock_foundry_local_manager,
     ):
-        FoundryLocalClient(model="test-model-id", device=DeviceType.CPU)
-
-        mock_foundry_local_manager.get_model_info.assert_called_once_with(
-            "test-model-id",
-            device=DeviceType.CPU,
-        )
-        mock_foundry_local_manager.download_model.assert_called_once_with(
-            "test-model-id",
-            device=DeviceType.CPU,
-        )
-        mock_foundry_local_manager.load_model.assert_called_once_with(
-            "test-model-id",
-            device=DeviceType.CPU,
-        )
+        FoundryLocalClient(model="test-model-id", device=DeviceType.GPU)
 
+        mock_foundry_local_model.select_variant.assert_called_once_with(gpu_variant)
 
-def test_foundry_local_client_init_model_not_found_with_device(mock_foundry_local_manager: MagicMock) -> None:
-    """Test FoundryLocalClient error message includes device when model not found with device specified."""
-    from foundry_local.models import DeviceType
 
-    mock_foundry_local_manager.get_model_info.return_value = None
+def test_foundry_local_client_init_model_not_found_with_device(
+    mock_foundry_local_manager: MagicMock, mock_foundry_local_model: MagicMock
+) -> None:
+    """Test FoundryLocalClient error message includes device when no variant matches."""
+    cpu_variant = MagicMock()
+    cpu_variant.info.runtime.device_type = DeviceType.CPU
+    mock_foundry_local_model.variants = [cpu_variant]
 
     with (
         patch(
-            "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+            "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
             return_value=mock_foundry_local_manager,
         ),
         pytest.raises(ValueError, match="unknown-model:GPU.*not found"),
@@ -202,31 +262,99 @@ def test_foundry_local_client_init_model_not_found_with_device(mock_foundry_loca
         FoundryLocalClient(model="unknown-model", device=DeviceType.GPU)
 
 
-def test_foundry_local_client_init_with_prepare_model_false(mock_foundry_local_manager: MagicMock) -> None:
+def test_foundry_local_client_init_with_prepare_model_false(
+    mock_foundry_local_manager: MagicMock, mock_foundry_local_model: MagicMock
+) -> None:
     """Test FoundryLocalClient initialization with prepare_model=False skips download and load."""
     with patch(
-        "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
         return_value=mock_foundry_local_manager,
     ):
         FoundryLocalClient(model="test-model-id", prepare_model=False)
 
-        mock_foundry_local_manager.download_model.assert_not_called()
-        mock_foundry_local_manager.load_model.assert_not_called()
+        mock_foundry_local_model.download.assert_not_called()
+        mock_foundry_local_model.load.assert_not_called()
 
 
-def test_foundry_local_client_init_calls_download_and_load(mock_foundry_local_manager: MagicMock) -> None:
-    """Test FoundryLocalClient initialization calls download_model and load_model by default."""
+def test_foundry_local_client_init_calls_download_and_load(
+    mock_foundry_local_manager: MagicMock, mock_foundry_local_model: MagicMock
+) -> None:
+    """Test FoundryLocalClient initialization downloads and loads the model by default."""
     with patch(
-        "agent_framework_foundry_local._foundry_local_client.FoundryLocalManager",
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
         return_value=mock_foundry_local_manager,
     ):
         FoundryLocalClient(model="test-model-id")
 
-        mock_foundry_local_manager.download_model.assert_called_once_with(
-            "test-model-id",
-            device=None,
-        )
-        mock_foundry_local_manager.load_model.assert_called_once_with(
-            "test-model-id",
-            device=None,
-        )
+        mock_foundry_local_model.download.assert_called_once_with()
+        mock_foundry_local_model.load.assert_called_once_with()
+
+
+def test_foundry_local_client_registers_execution_providers_for_accelerated_device(
+    mock_foundry_local_manager: MagicMock, mock_foundry_local_model: MagicMock
+) -> None:
+    """Accelerated variants only exist in the catalog once their provider is registered."""
+    gpu_variant = MagicMock()
+    gpu_variant.info.runtime.device_type = DeviceType.GPU
+    mock_foundry_local_model.variants = [gpu_variant]
+
+    with patch(
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
+        return_value=mock_foundry_local_manager,
+    ):
+        FoundryLocalClient(model="test-model-id", device=DeviceType.GPU)
+
+        mock_foundry_local_manager.download_and_register_eps.assert_called_once_with()
+
+
+def test_foundry_local_client_skips_execution_providers_for_cpu(
+    mock_foundry_local_manager: MagicMock, mock_foundry_local_model: MagicMock
+) -> None:
+    """An explicit CPU request should not download accelerated providers it will not use."""
+    cpu_variant = MagicMock()
+    cpu_variant.info.runtime.device_type = DeviceType.CPU
+    mock_foundry_local_model.variants = [cpu_variant]
+
+    with patch(
+        "agent_framework_foundry_local._foundry_local_client._resolve_foundry_local_manager",
+        return_value=mock_foundry_local_manager,
+    ):
+        FoundryLocalClient(model="test-model-id", device=DeviceType.CPU)
+
+        mock_foundry_local_manager.download_and_register_eps.assert_not_called()
+        mock_foundry_local_model.select_variant.assert_called_once_with(cpu_variant)
+
+
+def test_resolve_manager_initializes_once_under_concurrency() -> None:
+    """Two threads racing on first use must share one manager, not fail the second one."""
+    manager = MagicMock()
+    initialize_calls: list[int] = []
+    gate = threading.Barrier(2)
+
+    def _initialize(config: object) -> None:
+        initialize_calls.append(1)
+        # The SDK rejects a second initialization, so a race must never reach here twice.
+        assert len(initialize_calls) == 1
+        # Widen the window so both threads observe the uninitialized singleton.
+        time.sleep(0.05)
+        fake_manager_class.instance = manager
+
+    fake_manager_class = MagicMock()
+    fake_manager_class.instance = None
+    fake_manager_class.initialize.side_effect = _initialize
+
+    resolved: list[object] = []
+
+    def _worker() -> None:
+        gate.wait()
+        resolved.append(_resolve_foundry_local_manager())
+
+    with patch("agent_framework_foundry_local._foundry_local_client.FoundryLocalManager", fake_manager_class):
+        threads = [threading.Thread(target=_worker) for _ in range(2)]
+        for thread in threads:
+            thread.start()
+        for thread in threads:
+            thread.join()
+
+    assert len(initialize_calls) == 1
+    assert resolved == [manager, manager]
diff --git a/python/samples/02-agents/providers/foundry/foundry_local_agent.py b/python/samples/02-agents/providers/foundry/foundry_local_agent.py
index 95d4e06d21e..587c6c424f7 100644
--- a/python/samples/02-agents/providers/foundry/foundry_local_agent.py
+++ b/python/samples/02-agents/providers/foundry/foundry_local_agent.py
@@ -60,10 +60,11 @@ async def main() -> None:
     client = FoundryLocalClient(model="phi-4-mini")
     print(f"Client Model ID: {client.model}\n")
     print("Other available models (tool calling supported only):")
-    for model in client.manager.list_catalog_models():
+    for model in client.manager.catalog.list_models():
         if model.supports_tool_calling:
             print(
-                f"- {model.alias} for {model.task} - id={model.id} - {(model.file_size_mb / 1000):.2f} GB - {model.license}"
+                f"- {model.alias} for {model.info.task} - id={model.id} - "
+                f"{(model.info.file_size_mb / 1000):.2f} GB - {model.info.license}"
             )
     agent = Agent(
         client=client,
diff --git a/python/uv.lock b/python/uv.lock
index 33ebc2383f6..164327792c0 100644
--- a/python/uv.lock
+++ b/python/uv.lock
@@ -718,7 +718,7 @@ dependencies = [
 requires-dist = [
     { name = "agent-framework-core", editable = "packages/core" },
     { name = "agent-framework-openai", editable = "packages/openai" },
-    { name = "foundry-local-sdk", specifier = ">=0.5.1,<0.5.2" },
+    { name = "foundry-local-sdk", specifier = ">=2.0.0,<3" },
 ]
 
 [[package]]
@@ -2205,17 +2205,33 @@ wheels = [
     { url = "https://files.pythonhosted.org/packages/18/79/1b8fa1bb3568781e84c9200f951c735f3f157429f44be0495da55894d620/filetype-1.2.0-py2.py3-none-any.whl", hash = "sha256:7ce71b6880181241cf7ac8697a2f1eb6a8bd9b429f7ad6d27b8db9ba5f1c2d25", size = 19970, upload-time = "2022-11-02T17:34:01.425Z" },
 ]
 
+[[package]]
+name = "flatbuffers"
+version = "25.12.19"
+source = { registry = "https://pypi.org/simple" }
+wheels = [
+    { url = "https://files.pythonhosted.org/packages/e8/2d/d2a548598be01649e2d46231d151a6c56d10b964d94043a335ae56ea2d92/flatbuffers-25.12.19-py2.py3-none-any.whl", hash = "sha256:7634f50c427838bb021c2d66a3d1168e9d199b0607e6329399f04846d42e20b4", size = 26661, upload-time = "2025-12-19T23:16:13.622Z" },
+]
+
 [[package]]
 name = "foundry-local-sdk"
-version = "0.5.1"
+version = "2.2.1"
 source = { registry = "https://pypi.org/simple" }
 dependencies = [
-    { name = "httpx" },
+    { name = "cffi" },
+    { name = "onnxruntime" },
+    { name = "onnxruntime-genai-core" },
+    { name = "openai" },
     { name = "pydantic" },
-    { name = "tqdm" },
+    { name = "requests" },
+    { name = "typing-extensions" },
 ]
 wheels = [
-    { url = "https://files.pythonhosted.org/packages/ed/6b/76a7fe8f9f4c52cc84eaa1cd1b66acddf993496d55d6ea587bf0d0854d1c/foundry_local_sdk-0.5.1-py3-none-any.whl", hash = "sha256:f3639a3666bc3a94410004a91671338910ac2e1b8094b1587cc4db0f4a7df07e", size = 14003, upload-time = "2025-11-21T05:39:58.099Z" },
+    { url = "https://files.pythonhosted.org/packages/17/ee/9718d428de802ee5264e314c2eda1392cb99ccbe9bca7386eec278103b7f/foundry_local_sdk-2.2.1-cp311-abi3-macosx_11_0_arm64.whl", hash = "sha256:7180ea612ab5e2af0f6c8475d413ea592b7c067871b19c9e24a44c0a21f1c6e7", size = 6394441, upload-time = "2026-10-21T16:50:29.11Z" },
+    { url = "https://files.pythonhosted.org/packages/d4/d1/e1678487f99cfc52b573feba04c12133df7446a4d128abf1a489c0092f7f/foundry_local_sdk-2.2.1-cp311-abi3-manylinux_2_28_x86_64.whl", hash = "sha256:b534b9d3700ab90c69986a817ee542da215fab62e0f13e2e27f05c53b3239154", size = 8993548, upload-time = "2026-10-21T16:50:31.362Z" },
+    { url = "https://files.pythonhosted.org/packages/7c/73/670318151e07fdf131df926a270d2443b7255e3b5851e8bdb5dca98f88c9/foundry_local_sdk-2.2.1-cp311-abi3-manylinux_2_34_aarch64.whl", hash = "sha256:6ee4bd5407f5134bb243456603f4398a8732d765c7b3cc4b4d6fa2910ad2bda5", size = 8693997, upload-time = "2026-10-21T16:50:33.912Z" },
+    { url = "https://files.pythonhosted.org/packages/86/7a/ce8b0b2f870590e57d841a95adab0e965d6b3643fce5b20ca82222443a9f/foundry_local_sdk-2.2.1-cp311-abi3-win_amd64.whl", hash = "sha256:2a88dd8ba0ca89ba04b2f03a182238e0632d894b313117975ba0f8a4d68767d3", size = 40815873, upload-time = "2026-10-21T16:50:36.599Z" },
+    { url = "https://files.pythonhosted.org/packages/bc/12/a7d2aabf69089b3711b9de18b7d2ff228af26d401dcf3b7af343c03a3aec/foundry_local_sdk-2.2.1-cp311-abi3-win_arm64.whl", hash = "sha256:f28790aaac7abc4d14b9e6cfae422d3ed2679a8c62f2c7084c0e59297b9a6689", size = 40611400, upload-time = "2026-10-21T16:50:47.112Z" },
 ]
 
 [[package]]
@@ -3651,6 +3667,56 @@ wheels = [
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 ]
 
+[[package]]
+name = "onnxruntime"
+version = "1.31.0"
+source = { registry = "https://pypi.org/simple" }
+dependencies = [
+    { name = "flatbuffers" },
+    { name = "numpy", version = "2.4.6", source = { registry = "https://pypi.org/simple" }, marker = "python_full_version < '3.12'" },
+    { name = "numpy", version = "2.5.4", source = { registry = "https://pypi.org/simple" }, marker = "python_full_version >= '3.12'" },
+    { name = "packaging" },
+    { name = "protobuf" },
+]
+wheels = [
+    { url = "https://files.pythonhosted.org/packages/a7/e7/61b2768393646bd12e31eeb71958193f4e02c98c4980cf9289d19bbb4a8f/onnxruntime-1.31.0-cp311-cp311-macosx_14_0_arm64.whl", hash = "sha256:cbf1a7f6470ddfe9dbc781966af8ce4a10e1858d75a93f93cc6b9367c9587870", size = 20871717, upload-time = "2026-10-09T04:18:03.504Z" },
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