diff --git a/src/hooks/useAgentZeroStatusIndicator.ts b/src/hooks/useAgentZeroStatusIndicator.ts
new file mode 100644
index 000000000000..a91ffdc8b630
--- /dev/null
+++ b/src/hooks/useAgentZeroStatusIndicator.ts
@@ -0,0 +1,252 @@
+import {useCallback, useEffect, useMemo, useRef, useState} from 'react';
+import ONYXKEYS from '@src/ONYXKEYS';
+import useOnyx from './useOnyx';
+
+type AgentZeroStatusState = {
+    displayLabel?: string;
+    kickoffWaitingIndicator: () => void;
+};
+
+const WAITING_LABEL = 'Concierge is waiting for you to finish...';
+const INITIAL_FILLER_DELAY_MS = 4000;
+const MAX_FILLER_DELAY_MS = 8000;
+const BACKOFF_MULTIPLIER = 1.8;
+const JITTER_RATIO = 0.25; // +/-25% jitter to keep timers from feeling scripted
+
+const GENERIC_FILLER_MESSAGES = [
+    'Concierge is gathering context...',
+    'Concierge is analyzing semantic content...',
+    'Concierge is considering responses...',
+    'Concierge is verifying details...',
+    'Concierge is organizing your information...',
+    'Concierge is identifying key insights...',
+    'Concierge is synthesizing relevant data...',
+    'Concierge is checking for potential issues...',
+    'Concierge is refining its understanding...',
+    'Concierge is preparing a response strategy...',
+    'Concierge is reviewing edge cases...',
+    'Concierge is aligning on the best answer...',
+    'Concierge is ensuring clarity and accuracy...',
+];
+
+// Grouped filler pools keyed by a semantic category. These map to server-provided labels
+const FILLER_MESSAGE_POOLS: Record<string, string[]> = {
+    data: [
+        'Concierge is retrieving data...',
+        'Concierge is validating information...',
+        'Concierge is compiling results...',
+        'Concierge is checking consistency...',
+        'Concierge is fetching records...',
+        'Concierge is querying services...',
+        'Concierge is correlating sources...',
+        'Concierge is validating sources...',
+    ],
+    expenseAction: ['Concierge is verifying details...', 'Concierge is saving changes...', 'Concierge is confirming completion...', 'Concierge is ensuring compliance...'],
+    expenseUpdate: [
+        'Concierge is updating the expense...',
+        'Concierge is checking policy rules...',
+        'Concierge is applying the change...',
+        'Concierge is confirming the update...',
+        'Concierge is validating changes...',
+        'Concierge is syncing policy updates...',
+        'Concierge is normalizing data...',
+        'Concierge is saving your edits...',
+        'Concierge is finalizing updates...',
+    ],
+    preferenceUpdate: [
+        'Concierge is updating your preferences...',
+        'Concierge is confirming changes...',
+        'Concierge is saving settings...',
+        'Concierge is validating selections...',
+        'Concierge is loading settings...',
+        'Concierge is applying preferences...',
+        'Concierge is syncing your account...',
+        'Concierge is updating notifications...',
+        'Concierge is saving your profile...',
+        'Concierge is checking workspace settings...',
+        'Concierge is validating permissions...',
+        'Concierge is aligning defaults...',
+        'Concierge is updating your workspace...',
+    ],
+    comment: [
+        'Concierge is composing...',
+        'Concierge is posting...',
+        'Concierge is finalizing...',
+        'Concierge is formatting your message...',
+        'Concierge is polishing phrasing...',
+        'Concierge is inserting details...',
+        'Concierge is double-checking tone...',
+        'Concierge is drafting a reply...',
+        'Concierge is clarifying context...',
+        'Concierge is proofreading...',
+        'Concierge is preparing to send...',
+    ],
+    escalation: [
+        'Concierge is checking who can help...',
+        'Concierge is handing off to a teammate...',
+        'Concierge is confirming the escalation...',
+        'Concierge is paging a specialist...',
+        'Concierge is summarizing your case...',
+        'Concierge is routing to the best team...',
+        'Concierge is attaching relevant details...',
+        'Concierge is coordinating the handoff...',
+        'Concierge is confirming availability...',
+        'Concierge is prioritizing your request...',
+        'Concierge is notifying support...',
+        'Concierge is tracking the escalation...',
+        'Concierge is verifying next steps...',
+    ],
+
+    generic: GENERIC_FILLER_MESSAGES,
+};
+
+// Grouped backend labels by the pool we want to use
+const STATUS_LABEL_GROUPS: Record<string, string[]> = {
+    data: ['Concierge is looking up categories...', 'Concierge is looking up tags...', 'Concierge is looking up tax codes...', 'Concierge is searching documentation...'],
+    expenseAction: ['Concierge is creating an expense...', 'Concierge is creating a distance expense...', 'Concierge is deleting an expense...'],
+    expenseUpdate: [
+        'Concierge is updating category...',
+        'Concierge is updating description...',
+        'Concierge is updating merchant...',
+        'Concierge is updating amount and currency...',
+        'Concierge is updating tag...',
+        'Concierge is updating billable...',
+        'Concierge is updating reimbursable...',
+        'Concierge is updating date...',
+        'Concierge is updating attendees...',
+        'Concierge is updating tax amount...',
+        'Concierge is updating tax rate...',
+    ],
+    preferenceUpdate: [
+        'Concierge is updating company size...',
+        'Concierge is updating integration preference...',
+        'Concierge is updating card interest...',
+        'Concierge is updating travel interest...',
+    ],
+    comment: ['Concierge is posting a comment...'],
+    escalation: ['Concierge is escalating to a human...'],
+};
+
+function getFillerMessagesForLabel(statusLabel: string): string[] {
+    for (const [poolName, labels] of Object.entries(STATUS_LABEL_GROUPS)) {
+        if (labels.includes(statusLabel)) {
+            return FILLER_MESSAGE_POOLS[poolName] ?? FILLER_MESSAGE_POOLS.generic;
+        }
+    }
+    return FILLER_MESSAGE_POOLS.generic;
+}
+
+/**
+ * Blends the server-driven AgentZero indicator with local UX polish:
+ * - Optimistically shows a "waiting" state as soon as the user sends to Concierge
+ * - If a server label stalls, rotates filler messages with exponential backoff + jitter
+ * - Resets instantly when a new server label arrives
+ */
+function useAgentZeroStatusIndicator(reportID: string, isConciergeChat: boolean): AgentZeroStatusState {
+    const [reportNameValuePairs] = useOnyx(`${ONYXKEYS.COLLECTION.REPORT_NAME_VALUE_PAIRS}${reportID}`, {canBeMissing: true});
+    const serverLabel = reportNameValuePairs?.agentZeroProcessingRequestIndicator?.trim();
+    const [optimisticLabel, setOptimisticLabel] = useState<string>();
+    const [displayLabel, setDisplayLabel] = useState<string>();
+    const [serverLabelVersion, setServerLabelVersion] = useState(0);
+    const [waitingSessionVersion, setWaitingSessionVersion] = useState<number | null>(null);
+
+    const timerRef = useRef<ReturnType<typeof setTimeout> | null>(null);
+    const fillerIndexRef = useRef<number>(0);
+    const nextDelayRef = useRef<number>(INITIAL_FILLER_DELAY_MS);
+    const baseLabelRef = useRef<string>(serverLabel ?? '');
+
+    useEffect(() => {
+        setServerLabelVersion((version) => version + 1);
+    }, [reportNameValuePairs]);
+
+    const clearTimer = useCallback(() => {
+        if (!timerRef.current) {
+            return;
+        }
+        clearTimeout(timerRef.current);
+        timerRef.current = null;
+    }, []);
+
+    const kickoffWaitingIndicator = useCallback(() => {
+        if (!isConciergeChat || serverLabel) {
+            return;
+        }
+
+        setOptimisticLabel(WAITING_LABEL);
+        setWaitingSessionVersion(serverLabelVersion);
+    }, [isConciergeChat, serverLabel, serverLabelVersion]);
+
+    useEffect(() => {
+        const hasServerUpdatedSinceKickoff = waitingSessionVersion !== null && serverLabelVersion !== waitingSessionVersion;
+        if (!serverLabel || !hasServerUpdatedSinceKickoff) {
+            return;
+        }
+
+        setOptimisticLabel(undefined);
+        setWaitingSessionVersion(null);
+    }, [serverLabel, serverLabelVersion, waitingSessionVersion]);
+
+    useEffect(() => {
+        clearTimer();
+
+        if (!isConciergeChat) {
+            setDisplayLabel(undefined);
+            return;
+        }
+
+        if (optimisticLabel) {
+            baseLabelRef.current = '';
+            setDisplayLabel(optimisticLabel);
+            return;
+        }
+
+        if (!serverLabel) {
+            baseLabelRef.current = '';
+            setDisplayLabel(undefined);
+            return;
+        }
+
+        baseLabelRef.current = serverLabel;
+        const fillerMessages = getFillerMessagesForLabel(serverLabel);
+        fillerIndexRef.current = Math.floor(Math.random() * fillerMessages.length);
+        nextDelayRef.current = INITIAL_FILLER_DELAY_MS;
+        setDisplayLabel(serverLabel);
+
+        const scheduleNextFiller = () => {
+            const jitter = nextDelayRef.current * JITTER_RATIO;
+            const randomJitter = (Math.random() * 2 - 1) * jitter;
+            const delay = Math.min(MAX_FILLER_DELAY_MS, Math.max(INITIAL_FILLER_DELAY_MS, nextDelayRef.current + randomJitter));
+
+            clearTimer();
+            timerRef.current = setTimeout(() => {
+                // A new server label arrived; abandon this filler loop.
+                if (baseLabelRef.current !== serverLabel) {
+                    return;
+                }
+
+                const messages = getFillerMessagesForLabel(baseLabelRef.current);
+                const nextIndex = fillerIndexRef.current % messages.length;
+                setDisplayLabel(messages.at(nextIndex));
+                fillerIndexRef.current = (fillerIndexRef.current + 1) % messages.length;
+                nextDelayRef.current = Math.min(MAX_FILLER_DELAY_MS, Math.round(nextDelayRef.current * BACKOFF_MULTIPLIER));
+                scheduleNextFiller();
+            }, delay);
+        };
+
+        scheduleNextFiller();
+
+        return clearTimer;
+    }, [clearTimer, isConciergeChat, optimisticLabel, serverLabel]);
+
+    useEffect(() => clearTimer, [clearTimer]);
+
+    return useMemo(
+        () => ({
+            displayLabel,
+            kickoffWaitingIndicator,
+        }),
+        [displayLabel, kickoffWaitingIndicator],
+    );
+}
+
+export default useAgentZeroStatusIndicator;
diff --git a/src/pages/home/report/AgentZeroProcessingRequestIndicator.tsx b/src/pages/home/report/AgentZeroProcessingRequestIndicator.tsx
index bb7befd5df26..87067baf7a2f 100644
--- a/src/pages/home/report/AgentZeroProcessingRequestIndicator.tsx
+++ b/src/pages/home/report/AgentZeroProcessingRequestIndicator.tsx
@@ -7,12 +7,12 @@ import ONYXKEYS from '@src/ONYXKEYS';
 
 type AgentZeroProcessingRequestIndicatorProps = {
     reportID: string;
+    label?: string;
 };
 
-function AgentZeroProcessingRequestIndicator({reportID}: AgentZeroProcessingRequestIndicatorProps) {
+function AgentZeroProcessingRequestIndicator({reportID, label}: AgentZeroProcessingRequestIndicatorProps) {
     const styles = useThemeStyles();
     const {isOffline} = useNetwork();
-    const [reportNameValuePairs] = useOnyx(`${ONYXKEYS.COLLECTION.REPORT_NAME_VALUE_PAIRS}${reportID}`, {canBeMissing: true});
     const [userTypingStatuses] = useOnyx(`${ONYXKEYS.COLLECTION.REPORT_USER_IS_TYPING}${reportID}`, {canBeMissing: true});
 
     // Check if anyone is currently typing
@@ -20,7 +20,7 @@ function AgentZeroProcessingRequestIndicator({reportID}: AgentZeroProcessingRequ
     const isAnyoneTyping = usersTyping.length > 0;
 
     // Don't show if offline, if anyone is typing (typing indicator takes precedence), or if the indicator doesn't exist
-    if (isOffline || isAnyoneTyping || !reportNameValuePairs?.agentZeroProcessingRequestIndicator) {
+    if (isOffline || isAnyoneTyping || !label) {
         return null;
     }
 
@@ -29,7 +29,7 @@ function AgentZeroProcessingRequestIndicator({reportID}: AgentZeroProcessingRequ
             style={[styles.chatItemComposeSecondaryRowSubText, styles.chatItemComposeSecondaryRowOffset]}
             numberOfLines={1}
         >
-            {reportNameValuePairs.agentZeroProcessingRequestIndicator}
+            {label}
         </Text>
     );
 }
diff --git a/src/pages/home/report/ReportActionCompose/ReportActionCompose.tsx b/src/pages/home/report/ReportActionCompose/ReportActionCompose.tsx
index 09814ec3aa25..d2986df46c2e 100644
--- a/src/pages/home/report/ReportActionCompose/ReportActionCompose.tsx
+++ b/src/pages/home/report/ReportActionCompose/ReportActionCompose.tsx
@@ -17,6 +17,7 @@ import type {Mention} from '@components/MentionSuggestions';
 import OfflineIndicator from '@components/OfflineIndicator';
 import OfflineWithFeedback from '@components/OfflineWithFeedback';
 import {usePersonalDetails} from '@components/OnyxListItemProvider';
+import useAgentZeroStatusIndicator from '@hooks/useAgentZeroStatusIndicator';
 import useAncestors from '@hooks/useAncestors';
 import useCurrentUserPersonalDetails from '@hooks/useCurrentUserPersonalDetails';
 import useHandleExceedMaxCommentLength from '@hooks/useHandleExceedMaxCommentLength';
@@ -48,6 +49,7 @@ import {
     getParentReport,
     getReportRecipientAccountIDs,
     isChatRoom,
+    isConciergeChatReport,
     isGroupChat,
     isInvoiceReport,
     isReportApproved,
@@ -209,6 +211,7 @@ function ReportActionCompose({
     const userBlockedFromConcierge = useMemo(() => isBlockedFromConciergeUserAction(blockedFromConcierge), [blockedFromConcierge]);
     const isBlockedFromConcierge = useMemo(() => includesConcierge && userBlockedFromConcierge, [includesConcierge, userBlockedFromConcierge]);
     const isReportArchived = useReportIsArchived(report?.reportID);
+    const isConciergeChat = useMemo(() => isConciergeChatReport(report), [report]);
 
     const isTransactionThreadView = useMemo(() => isReportTransactionThread(report), [report]);
     const isExpensesReport = useMemo(() => reportTransactions && reportTransactions.length > 1, [reportTransactions]);
@@ -252,6 +255,8 @@ function ReportActionCompose({
         return translate('reportActionCompose.writeSomething');
     }, [includesConcierge, translate, userBlockedFromConcierge]);
 
+    const {displayLabel: agentZeroDisplayLabel, kickoffWaitingIndicator} = useAgentZeroStatusIndicator(reportID, isConciergeChat);
+
     const focus = () => {
         if (composerRef.current === null) {
             return;
@@ -322,6 +327,10 @@ function ReportActionCompose({
         (newComment: string) => {
             const newCommentTrimmed = newComment.trim();
 
+            if (isConciergeChat) {
+                kickoffWaitingIndicator();
+            }
+
             if (attachmentFileRef.current) {
                 addAttachmentWithComment(transactionThreadReportID ?? reportID, reportID, ancestors, attachmentFileRef.current, newCommentTrimmed, personalDetail.timezone, true);
                 attachmentFileRef.current = null;
@@ -339,7 +348,7 @@ function ReportActionCompose({
                 onSubmit(newCommentTrimmed);
             }
         },
-        [onSubmit, ancestors, reportID, personalDetail.timezone, transactionThreadReportID],
+        [onSubmit, ancestors, kickoffWaitingIndicator, isConciergeChat, reportID, personalDetail.timezone, transactionThreadReportID],
     );
 
     const onTriggerAttachmentPicker = useCallback(() => {
@@ -633,7 +642,10 @@ function ReportActionCompose({
                         ]}
                     >
                         {!shouldUseNarrowLayout && <OfflineIndicator containerStyles={[styles.chatItemComposeSecondaryRow]} />}
-                        <AgentZeroProcessingRequestIndicator reportID={reportID} />
+                        <AgentZeroProcessingRequestIndicator
+                            reportID={reportID}
+                            label={agentZeroDisplayLabel}
+                        />
                         <ReportTypingIndicator reportID={reportID} />
                         {!!exceededMaxLength && (
                             <ExceededCommentLength