AI Agents explained: What they are, how they work, their benefits, dangers and more

With generative AI growing at an unprecedented rate, we have witnessed a slew of tools by tech companies. This includes popular chatbots like ChatGPT and Google Gemini. But there’s a new AI tool on the block called an AI agent. AI agents are gradually gaining traction, with big tech companies slowly starting to focus on their development. That said, what are AI agents? Simply put, an AI agent takes the power of generative AI a step further than your typical AI chatbot. AI agents can work alongside you or even on your behalf. They can perform a range of tasks, including answering questions or handling multi-step assignments. This is how Microsoft describes AI agents.

Google has a similar stance. Oliver Parker at Google Cloud told  VentureBeat: “Moving forward, you’ll see different agents talking to different agents, almost to the point where we all go to sleep at the end of the evening, and there’s a series of tasks and things and actions that are happening behind the scenes,”

Also, the World Economic Forum describes AI agents or ‘agentic AI’ as “autonomous systems that sense and act upon their environment to achieve goals.” It adds, “a slew of tech companies are developing AI agents and they’re poised to transform industries and redefine productivity.”

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How Do AI Agents Work?

As reported by VentureBeat, there are different types of AI agents that focus on various tasks, from answering user questions to managing repetitive work, aiding creative processes, supporting design, and even preventing cyberattacks, or investigating potential breaches.

Microsoft explains that you could create an agent that knows everything about your product catalogue, capable of drafting detailed responses to customer queries and compiling information for tasks such as presentations. Other agents can handle more advanced tasks, like fulfilling sales orders, allowing users to focus on building new customer relationships.

AI Agents Can Already Be Used In Consumer-Grade Products 

Some of these agents are already available in consumer-grade applications, such as Microsoft 365. Microsoft describes it as a cooperative effort between tools like Copilot and a digital AI agent. For example, Copilot could act as your personal assistant by drafting emails or recapping missed meetings, while an AI agent could handle lead generation or background tasks.

Microsoft has also created a multi-agent library for developers, enabling them to build and publish agents within applications like Microsoft 365 Copilot. This requires no coding skills, allowing users to create agents that can assist with everyday tasks, such as generating spreadsheets or presentations.

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How Can You Benefit From AI Agents?

The World Economic Forum notes that AI agents are gradually becoming more capable in reasoning, planning, and self-checking, as well as carrying out tasks beyond the skill set of users. For instance, they can perform specialised coding or take on tedious tasks.

“In a world of talent scarcity, AI agents can help to close skills gaps in various industries, where human expertise is lacking or in high demand,” World Economic Forum notes.

In a way, if you think about it, employing an AI agent doesn’t necessarily mean you need to upskill yourself. Instead, you can spend that time forming meaningful connections with the right people or engaging in a variety of tasks that are less time-consuming but equally rewarding. Additionally, you can use AI agents to handle the mundane.

If you are a business user, you can certainly leverage AI agents to automate some of the most repetitive tasks, such as logging data and more.

What Are The Dangers Of AI Agents?

The World Economic Forum also highlights that AI agents can pose certain risks, particularly when humans are not involved.

The report states that these risks include errors, malfunctions, and security issues, such as the potential for automating cyberattacks. Additionally, there are social and economic risks, such as job displacement and over-reliance on AI agents.

However, most of these risks can be mitigated if human experts review the decisions made by AI agents. Also, clear ethical guidelines are implemented to prioritise human rights and privacy. A big focus needs to be data governance and cybersecurity before deploying AI agents, and finally, public education and awareness campaigns are needed to avoid over-reliance on AI agents.

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