Preprint
Reinforcement Learning

AI Agents vs. Agentic AI: A Conceptual Taxonomy, Applications and Challenges

Ranjan Sapkota(Cornell University), Konstantinos I. Roumeliotis(University of Peloponnese), Manoj Karkee(Cornell University)
July 20, 2025SuperIntelligence - Robotics - Safety & Alignment145 citations

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SuperIntelligence - Robotics - Safety & Alignment

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2025

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Abstract

This review critically distinguishes between AI Agents and Agentic AI, offering a structured, conceptual taxonomy, application mapping, and analysis of opportunities and challenges to clarify their divergent design philosophies and capabilities. We begin by outlining the search strategy and foundational definitions, characterizing AI Agents as modular systems driven and enabled by LLMs and LIMs for taskspecific automation. Generative AI is positioned as a precursor providing the foundation, with AI agents advancing through tool integration, prompt engineering, and reasoning enhancements. We then characterize Agentic AI systems, which, in contrast to AI Agents, represent a paradigm shift marked by multi-agent collaboration, dynamic task decomposition, persistent memory, and coordinated autonomy. Through a chronological evaluation of architectural evolution, operational mechanisms, interaction styles, and autonomy levels, we present a comparative analysis across both AI agents and agentic AI paradigms. Application domains enabled by AI Agents such as customer support, scheduling, and data summarization are then contrasted with Agentic AI deployments in research automation, robotic coordination, and medical decision support. We further examine unique challenges in each paradigm including hallucination, brittleness, emergent behavior, and coordination failure, and propose targeted solutions such as ReAct loops, retrieval-augmented generation (RAG), automation coordination layers, and causal modeling. This work aims to provide a roadmap for developing robust, scalable, and explainable AI-driven systems.

Analysis

Why This Paper Matters

This paper addresses a critical confusion in the AI community: the conflation of AI Agents and Agentic AI. As LLM-based systems proliferate, practitioners often use these terms interchangeably, leading to misaligned expectations and design choices. By providing a clear conceptual taxonomy, the authors enable researchers and engineers to select appropriate architectures for their use cases—whether building a simple customer support bot or a multi-agent research automation system.

The timing is particularly relevant as the field moves from single-agent, prompt-engineered systems toward multi-agent, memory-augmented, and autonomously coordinating systems. The paper’s distinction between modular, task-specific AI Agents and paradigm-shifting Agentic AI with dynamic task decomposition and persistent memory provides a much-needed framework for navigating this transition.

Technical Contributions

  • Taxonomy of Autonomy: Defines AI Agents as LLM/LIM-driven modular systems with tool integration and prompt engineering, while Agentic AI features multi-agent collaboration, dynamic task decomposition, and persistent memory.
  • Application Mapping: Maps AI Agents to customer support, scheduling, and data summarization; Agentic AI to research automation, robotic coordination, and medical decision support.
  • Challenge-Solution Mapping: Identifies hallucination and brittleness in AI Agents (solved via ReAct loops and RAG) and emergent behavior and coordination failure in Agentic AI (solved via automation coordination layers and causal modeling).
  • Chronological Evaluation: Traces architectural evolution from generative AI precursors to advanced agentic systems, comparing operational mechanisms, interaction styles, and autonomy levels.

Results

The paper does not present experimental results or quantitative metrics. Instead, it offers a structured comparative analysis that highlights the strengths and weaknesses of each paradigm. Key findings include: AI Agents are effective for well-defined, single-task automation but suffer from hallucination and brittleness; Agentic AI enables complex, multi-step tasks through coordination but introduces risks of emergent behavior and coordination failure. Proposed solutions like ReAct loops and RAG are cited as effective mitigations, though no empirical validation is provided.

Significance

This review serves as a foundational reference for practitioners and researchers designing autonomous AI systems. By clarifying the conceptual boundaries between AI Agents and Agentic AI, it reduces ambiguity in academic discourse and industry practice. The proposed roadmap for robust, scalable, and explainable systems—incorporating ReAct, RAG, coordination layers, and causal modeling—offers actionable guidance for building next-generation AI architectures. The paper’s impact lies in its potential to standardize terminology and accelerate progress toward truly autonomous, collaborative AI systems.