What Is an AI Agent?

AI agents are sophisticated applications that leverage generative AI models, primarily large language models (LLMs), to autonomously achieve specific goals through reasoning, planning, and iterative decision-making. Unlike simple chatbots, AI agents can use tools, access structured memory systems like knowledge graphs, and operate within a reasoning and execution loop to complete complex tasks. These agents are increasingly used across various industries, handling repetitive tasks to allow human workers to focus on more strategic responsibilities. The development of AI agents has been propelled by advancements in AI technology, such as improved multi-step reasoning, enhanced context windows, and standardized protocols for tool integration. While offering significant operational benefits, AI agents also pose challenges related to context management, security, and human trust, necessitating robust frameworks and best practices for their safe and effective deployment. As AI agents evolve, they are expected to transition from purely text-based systems to dynamic, context-aware systems capable of reasoning with structured knowledge, thereby transforming traditional business applications into agent-driven workspaces.