diff --git a/AGENTS.md b/AGENTS.md
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--- a/AGENTS.md
+++ b/AGENTS.md
@@ -21,8 +21,8 @@ Applies to entire `pi-subagents` package in this repo root.
 - `src/tool.ts` / `src/schema.ts` — tool contract and parameter/result types.
 - `src/wrapper/cli.mjs` — child-session wrapper that writes artifacts/results.
 - `src/*.test.ts`, `src/wrapper/*.test.ts` — regression tests.
-- `docs/specs/` — design docs created during brainstorming before implementation.
-- `docs/plans/` — implementation plans and migration notes.
+- `docs/superpowers/specs/` — design docs created during brainstorming before implementation.
+- `docs/superpowers/plans/` — implementation plans and migration notes.
 
 ## Working rules
 
diff --git a/docs/superpowers/specs/2026-04-12-subagent-live-progress-design.md b/docs/superpowers/specs/2026-04-12-subagent-live-progress-design.md
new file mode 100644
index 0000000..6c425d1
--- /dev/null
+++ b/docs/superpowers/specs/2026-04-12-subagent-live-progress-design.md
@@ -0,0 +1,175 @@
+# Subagent Live Progress Rendering Design
+
+**Date:** 2026-04-12  
+**Package:** `pi-subagents`
+
+## Goal
+
+Make a running subagent show what the child agent is actually doing instead of collapsing every live update to raw event names like `tool_call` and `tool_result`.
+
+## Current state
+
+Today `src/tool.ts` handles every child event with the same parent-facing update:
+
+- `Running subagent: ${event.type}`
+
+That loses the useful semantics already present in normalized events:
+
+- assistant turns may already contain human-readable status text
+- tool calls carry actionable args like file paths and commands
+- tool results can tell whether a step finished or failed
+
+`src/wrapper/render.mjs` already renders transcript lines, but its tool fallback is still JSON-shaped and the parent live UI does not reuse it. As a result, the live progress display is much less informative than the underlying event stream.
+
+## Chosen approach
+
+Use a **shared progress formatter**.
+
+Behavior order:
+
+1. prefer child `assistant_text` when it contains non-empty text
+2. otherwise render humanized tool activity from normalized tool events
+3. use concise completion/failure wording for tool results based on remembered tool context
+
+Use the same formatter for:
+
+- parent live progress updates in `src/tool.ts`
+- transcript event rendering in `src/wrapper/render.mjs`
+
+Keep the wrapper event protocol, runner behavior, artifacts, and `result.json` semantics unchanged.
+
+## Scope
+
+### Modify
+
+- `src/tool.ts`
+- `src/wrapper/render.mjs`
+- new shared formatter module for normalized progress events
+- `src/tool.test.ts`
+- `src/wrapper/render.test.ts`
+
+### Do not modify
+
+- `index.ts`
+- `src/process-runner.ts`
+- `src/tmux-runner.ts`
+- `src/wrapper/cli.mjs` event/result lifecycle
+- `src/wrapper/normalize.mjs`
+- artifact layout or `result.json` fields
+
+## Design
+
+### 1. Progress priority
+
+When a normalized event is `assistant_text` and `text` is non-empty:
+
+- show that text to the parent as the live status
+- render that same text in the transcript as today
+- do not replace it with a generic tool label
+
+This matches the product goal best because the child assistant can express intent directly, for example:
+
+- `I’m inspecting the auth flow now.`
+- `I found the schema; next I’m checking validation.`
+
+Blank assistant text should not generate a noisy no-op status line.
+
+### 2. Tool activity fallback
+
+When there is no usable assistant text, render normalized tool events into action text.
+
+Examples of desired fallback wording:
+
+- `read` -> `Reading src/auth.ts`
+- `grep` -> `Searching code for auth`
+- `find` -> `Scanning for *.test.ts`
+- `ls` -> `Listing src/`
+- `edit` -> `Editing src/tool.ts`
+- `write` -> `Writing README.md`
+- `bash` -> keep the shortened shell command, because the command already states the action
+- unknown tool -> `Running <toolName>`
+
+The formatter should use available arguments conservatively:
+
+- prefer exact paths, patterns, and commands already present in the event
+- do not invent missing detail
+- if args are absent, fall back to a generic tool name message instead of guessing
+
+### 3. Tool result wording
+
+`tool_result` should not surface as bare `tool_result`.
+
+Instead, it should render a concise completion/failure message tied to the most recent relevant tool context when available, for example:
+
+- `Finished reading src/auth.ts`
+- `Search finished`
+- `Edit failed: src/tool.ts`
+
+If no matching prior tool context is available, use a conservative generic result line such as:
+
+- `read finished`
+- `grep failed`
+
+This keeps progress understandable without requiring protocol changes.
+
+### 4. Shared rendering boundary
+
+The new shared formatter module owns conversion from normalized child events to user-facing progress text.
+
+Responsibilities:
+
+- map known tools to humanized action strings
+- preserve assistant text when present
+- derive concise result wording from recent tool context
+- keep unknown tools conservative
+
+`src/tool.ts` should use this formatter for parent `onUpdate` messages.
+
+`src/wrapper/render.mjs` should use the same formatter for transcript event lines so live UI and transcript do not drift.
+
+The existing transcript header stays unchanged and generic.
+
+### 5. Failure and noise handling
+
+Keep behavior minimal and predictable:
+
+- blank assistant text -> emit nothing
+- unknown tool -> generic `Running <toolName>` / `<toolName> finished` / `<toolName> failed`
+- no tool context for a result -> generic result wording
+- artifact/result writing behavior stays unchanged
+- no new event types, no wrapper protocol expansion
+
+## Testing strategy
+
+Follow TDD.
+
+### First failing tests
+
+1. `src/tool.test.ts`
+   - assistant text is surfaced directly when present
+   - fallback tool updates are humanized
+   - parent progress no longer shows raw `tool_call` / `tool_result`
+
+2. `src/wrapper/render.test.ts`
+   - known tools render as action text instead of JSON-shaped fallback lines
+   - result lines use completion/failure wording
+   - bash still renders as shortened command text
+
+### Verification after implementation
+
+Run at least:
+
+- targeted test files for touched units
+- full package suite: `npm test`
+
+## Non-goals
+
+- changing child wrapper completion behavior
+- changing normalized event schema
+- adding runner-specific progress logic
+- redesigning artifact files or transcript headers
+- inventing semantic summaries beyond the data already present in events
+
+## Expected outcome
+
+After the change, a running subagent will show meaningful status like assistant intent text or readable tool activity instead of raw event-type labels. The parent live UI and saved transcript will use the same progress language while keeping runner behavior, wrapper semantics, and result artifacts stable.