diff --git a/backend/__pycache__/main.cpython-313.pyc b/backend/__pycache__/main.cpython-313.pyc
index d66e1ad..7e71e58 100644
Binary files a/backend/__pycache__/main.cpython-313.pyc and b/backend/__pycache__/main.cpython-313.pyc differ
diff --git a/backend/main.py b/backend/main.py
index 0143699..fb05c7b 100644
--- a/backend/main.py
+++ b/backend/main.py
@@ -1,8 +1,12 @@
 from fastapi import FastAPI, HTTPException
 from fastapi.middleware.cors import CORSMiddleware
+import uvicorn
 from models import DiagramItem
 import json
 import os
+import requests
+import xml.etree.ElementTree as ET
+from typing import List, Dict
 
 app = FastAPI()
 
@@ -14,8 +18,11 @@ app.add_middleware(
     allow_headers=["*"],
 )
 
+BASE_URL = "https://s3.dvirlabs.com/lab-icons"
+S3_INDEX_URL = "https://s3.dvirlabs.com/lab-icons/?list-type=2"
 DATA_FILE = "diagram.json"
 
+
 @app.get("/diagram/fetch")
 def fetch_diagram():
     if not os.path.exists(DATA_FILE):
@@ -23,6 +30,7 @@ def fetch_diagram():
     with open(DATA_FILE, "r") as f:
         return json.load(f)
 
+
 @app.post("/diagram/save")
 def save_diagram(payload: DiagramItem):
     try:
@@ -31,3 +39,44 @@ def save_diagram(payload: DiagramItem):
         return {"status": "ok"}
     except Exception as e:
         raise HTTPException(status_code=500, detail=str(e))
+
+
+@app.get("/icons", response_model=Dict[str, List[str]])
+def list_icons():
+    """
+    Returns a dictionary of available icons grouped by folder (category).
+    Example:
+    {
+        "dev-tools": [ "https://s3.dvirlabs.com/lab-icons/dev-tools/gitea.svg", ... ],
+        "observability": [ ... ]
+    }
+    """
+    resp = requests.get(S3_INDEX_URL)
+    if resp.status_code != 200:
+        raise HTTPException(status_code=500, detail="Failed to fetch icon list from S3")
+
+    root = ET.fromstring(resp.content)
+    categories: Dict[str, List[str]] = {}
+
+    for content in root.findall(".//{http://s3.amazonaws.com/doc/2006-03-01/}Contents"):
+        key = content.find("{http://s3.amazonaws.com/doc/2006-03-01/}Key").text
+        if not key.endswith(".svg"):
+            continue
+        parts = key.split('/')
+        if len(parts) == 2:
+            category, icon = parts
+        elif len(parts) > 2:
+            category = parts[0]
+            icon = parts[-1]
+        else:
+            category = "uncategorized"
+            icon = parts[0]
+
+        url = f"{BASE_URL}/{key}"
+        categories.setdefault(category, []).append(url)
+
+    return categories
+
+
+if __name__ == "__main__":
+    uvicorn.run(app, host="0.0.0.0", port=8000)
diff --git a/frontend/src/components/Diagram.jsx b/frontend/src/components/Diagram.jsx
index bc67b8d..030608e 100644
--- a/frontend/src/components/Diagram.jsx
+++ b/frontend/src/components/Diagram.jsx
@@ -1,3 +1,4 @@
+// src/components/Diagram.jsx
 import { useEffect, useState, useCallback } from 'react';
 import ReactFlow, {
   addEdge,
@@ -9,6 +10,7 @@ import ReactFlow, {
 import 'reactflow/dist/style.css';
 import { fetchDiagram, saveDiagram } from '../services/api';
 import CustomNode from './CustomNode';
+import IconSelector from './IconSelector';
 
 const nodeTypes = {
   custom: CustomNode,
@@ -18,6 +20,9 @@ function Diagram() {
   const [nodes, setNodes, onNodesChange] = useNodesState([]);
   const [edges, setEdges, onEdgesChange] = useEdgesState([]);
   const [selectedNode, setSelectedNode] = useState(null);
+  const [showForm, setShowForm] = useState(false);
+  const [newLabel, setNewLabel] = useState('');
+  const [selectedIcon, setSelectedIcon] = useState('');
 
   useEffect(() => {
     fetchDiagram().then((data) => {
@@ -44,9 +49,13 @@ function Diagram() {
   };
 
   const handleAddNode = () => {
+    setShowForm(true);
+  };
+
+  const handleSubmitNode = () => {
     const id = (nodes.length + 1).toString();
-    const icon = prompt('Enter icon URL:', 'https://s3.dvirlabs.com/lab-icons/default.svg') || 'https://s3.dvirlabs.com/lab-icons/default.svg';
-    const label = prompt('Enter label:', `Node ${id}`) || `Node ${id}`;
+    const label = newLabel || `Node ${id}`;
+    const icon = selectedIcon || 'https://s3.dvirlabs.com/lab-icons/default.svg';
 
     const newNode = {
       id,
@@ -56,6 +65,9 @@ function Diagram() {
     };
 
     setNodes((nds) => [...nds, newNode]);
+    setShowForm(false);
+    setNewLabel('');
+    setSelectedIcon('');
   };
 
   const handleDeleteNode = () => {
@@ -93,6 +105,22 @@ function Diagram() {
         <button onClick={handleDeleteNode} className="btn" style={{ marginLeft: 8 }} disabled={!selectedNode}>🗑️ Delete Node</button>
       </div>
 
+      {showForm && (
+        <div style={{ position: 'absolute', zIndex: 20, right: 10, top: 80, background: '#fff', padding: 10, borderRadius: 6, boxShadow: '0 2px 4px rgba(0,0,0,0.2)' }}>
+          <h4>Add Node</h4>
+          <input
+            type="text"
+            placeholder="Enter label"
+            value={newLabel}
+            onChange={(e) => setNewLabel(e.target.value)}
+            style={{ marginBottom: 8, display: 'block', width: '100%' }}
+          />
+          <IconSelector onSelect={setSelectedIcon} />
+          <button className="btn" onClick={handleSubmitNode}>✅ Add</button>
+          <button className="btn" style={{ marginLeft: 8 }} onClick={() => setShowForm(false)}>❌ Cancel</button>
+        </div>
+      )}
+
       <ReactFlow
         nodes={nodes}
         edges={edges}
@@ -111,4 +139,4 @@ function Diagram() {
   );
 }
 
-export default Diagram;
+export default Diagram;
\ No newline at end of file
diff --git a/frontend/src/components/IconSelector.jsx b/frontend/src/components/IconSelector.jsx
new file mode 100644
index 0000000..dbd20dd
--- /dev/null
+++ b/frontend/src/components/IconSelector.jsx
@@ -0,0 +1,58 @@
+import { useEffect, useState } from 'react';
+import { fetchIconCategories } from '../services/api';
+
+function IconSelector({ onSelect }) {
+  const [categories, setCategories] = useState({});
+  const [selectedCategory, setSelectedCategory] = useState('');
+  const [selectedIcon, setSelectedIcon] = useState('');
+
+  useEffect(() => {
+    fetchIconCategories().then(setCategories);
+  }, []);
+
+  const handleCategoryChange = (e) => {
+    const category = e.target.value;
+    setSelectedCategory(category);
+    setSelectedIcon('');
+    onSelect('');
+  };
+
+  const handleIconChange = (e) => {
+    const icon = e.target.value;
+    setSelectedIcon(icon);
+    onSelect(icon);
+  };
+
+  return (
+    <div style={{ marginBottom: '1rem' }}>
+      <label>Category:&nbsp;</label>
+      <select value={selectedCategory} onChange={handleCategoryChange}>
+        <option value="">Select Category</option>
+        {Object.keys(categories).map((cat) => (
+          <option key={cat} value={cat}>{cat}</option>
+        ))}
+      </select>
+
+      {selectedCategory && (
+        <>
+          <label style={{ marginLeft: '1rem' }}>Icon:&nbsp;</label>
+          <select value={selectedIcon} onChange={handleIconChange}>
+            <option value="">Select Icon</option>
+            {categories[selectedCategory].map((url) => (
+              <option key={url} value={url}>{url.split('/').pop()}</option>
+            ))}
+          </select>
+          {selectedIcon && (
+            <img
+              src={selectedIcon}
+              alt="preview"
+              style={{ width: 32, height: 32, marginLeft: 10, verticalAlign: 'middle' }}
+            />
+          )}
+        </>
+      )}
+    </div>
+  );
+}
+
+export default IconSelector;
diff --git a/frontend/src/services/api.js b/frontend/src/services/api.js
index 252e06e..55f84e7 100644
--- a/frontend/src/services/api.js
+++ b/frontend/src/services/api.js
@@ -13,3 +13,8 @@ export async function saveDiagram(data) {
   });
   return await res.json();
 }
+
+export async function fetchIconCategories() {
+  const res = await fetch(`${API_BASE}/icons`);
+  return await res.json();
+}