AI Agent Core Architecture: LLM + Memory + Tools + Planning

This is Part 1 of the AI Agent Tech Stack series. This article breaks down the core architecture from first principles. The rest of the series: Design Patterns · Framework Comparison · Protocol Layer · Production Practices.

What Is an AI Agent?

An AI Agent is far more than "LLM + Prompt." It is an autonomous system that can perceive its environment, plan actions, use tools, and execute iteratively. Unlike traditional single-turn Q&A, an agent has:

  • Autonomy — decides the next action on its own, without waiting for explicit user commands
  • Tool Use — invokes external APIs, executes code, queries databases
  • Memory — retains conversation context, interaction history, and learned knowledge
  • Planning — decomposes complex tasks into executable sub-steps
  • Reflection — evaluates its own output quality and self-corrects

Core Architecture

AI Agent core architecture — LLM brain with Memory, Tools, Planning, and Observation modules
AI Agent core architecture: the LLM serves as the brain, connecting Memory, Tools, Planning, and Observation modules in an iterative loop.

1. LLM (Brain)

The LLM is the agent's reasoning engine — it understands user intent, formulates plans, selects tools, and generates responses. Leading choices:

ModelProviderStrengthsBest For
GPT-4o / o3OpenAIStrongest all-round, stable tool callingGeneral agents, complex reasoning
Claude 4 Opus/SonnetAnthropicLong context, strong codingCode agents, document analysis
Gemini 2.5 ProGoogleMultimodal, long contextMultimodal agents
DeepSeek-V3DeepSeekExcellent cost-performance ratioCost-sensitive workloads
Llama 3.3 / 4MetaOpen-source, self-hostableData-privacy-critical scenarios
Qwen 3AlibabaStrong multilingual supportMultilingual agents

2. Memory

Agent memory operates at three levels:

  • Short-term — current conversation context, limited by the context window. Implementation: message list + summary compression.
  • Long-term — persistent knowledge store, typically via RAG (Retrieval-Augmented Generation). Vector DB options: Pinecone, ChromaDB, pgvector, Milvus.
  • Episodic — past task execution experiences and feedback. Notable project: Mem0.

3. Tools

Tools are the agent's interface to the outside world, implemented via two primary mechanisms:

  • Function Calling — natively supported by OpenAI/Claude; the LLM outputs structured tool-call requests
  • MCP (Model Context Protocol) — an open protocol by Anthropic that abstracts tools as independent services. See Protocol Layer for details.

Common tool types: code execution, web search, database queries, API calls, file I/O, browser automation.

4. Planning

An agent's planning capability determines its ceiling for handling complex tasks. Core approaches:

  • ReAct — alternates between Reasoning and Acting; think first, then act at each step
  • Chain-of-Thought (CoT) — step-by-step reasoning to improve accuracy
  • Task Decomposition — break large tasks into executable sub-tasks
  • Plan-and-Execute — formulate a complete plan first, then execute step by step

The Agent Loop

All these components come together in the Perception → Reasoning → Action → Observation loop:

  1. The agent perceives the user's request and any environmental context
  2. The LLM reasons about what to do next (planning + chain-of-thought)
  3. It acts by calling a tool or generating a response
  4. It observes the result, reflects, and decides whether to continue or finish

This loop repeats until the task is complete or a maximum iteration limit is reached.

What's Next

This article covered the foundational architecture. The rest of the series dives deeper:

References