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How AI Agents Work: LLMs, Tools, Memory and RAG Explained

Chapter 1, Video 2 · 13:33

Learn how AI agents work step by step: understanding the user's goal, planning, calling tools, observing results, using memory and RAG, and completing real tasks safely with human approval and guardrails.

What you will learn

  • How AI agents understand a user's goal from natural language
  • How a large language model acts as the agent's reasoning engine
  • How agents plan and break complex tasks into steps
  • How tool calling and API integration work
  • How agents observe results and adjust, in the agent execution loop
  • Short-term memory, long-term memory and context management
  • Retrieval-augmented generation (RAG) explained
  • Human-in-the-loop approval, error handling and retries
  • Agent security, prompt injection defence and guardrails
  • A complete real-world agent workflow and architecture

Prefer reading? How AI Agents Work: A Beginner's Guide →

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