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Anthropic just dropped a blog post that could finally fix MCP's biggest problem — the context window. Instead of loading all your tools upfront and burning through tokens, the new code execution approach lets Claude interact with MCP servers as code APIs. This means tools load on-demand, data filters in the sandbox before reaching the model, and token usage drops from 150K to 2K. In this video, I break down the blog post, explain how presenting tools as code solves MCP's efficiency problems, and what this means for building better agents. ⏱️ TIMESTAMPS 0:00 – Intro: Code Execution with MCP 0:38 – The Core Concept: Tools as Code APIs 1:13 – The Problem: Context Window Overload 2:55 – The Solution: Code Execution 3:20 – File System Approach (Similar to Skills) 4:00 – Context-Efficient Tool Results 5:01 – Chaining Workflows Without Hitting Limits 5:40 – Privacy Benefits: PII Stays Out of Model 6:19 – Persistent State & Self-Improving AI 7:06 – Final Thoughts & Challenge 🔗 RESOURCES Anthropic Blog: https://www.anthropic.com/engineering/code-execution-with-mcp Hacker News Discussion: https://news.ycombinator.com/item?id=45830318 Cloudflare Code Mode: https://blog.cloudflare.com/code-mode/ Book a call with me → https://yedatechs.com/#container06 Sponsorship inquiries → hi@yedatechs.com #MCPServers #ClaudeAI #CodeExecution #Anthropic #ContextWindow #AIAgents #DeveloperTools #MCP #AIWorkflow #AIDevelopment