2 Min

Memory Systems in Agents

Written by
Karl Simon
Published on
April 6, 2025

Think of AI memory systems as the brain’s hippocampus—storing, retrieving, and contextualizing information for intelligent action. Whether procedural, episodic, or working, these systems give AI the continuity to think and act cohesively. This piece of the AI puzzle doesn’t get a lot of press, but it’s critical to properly enable AI systems. 

Best Practices

  1. Modular Design: Like a filing system, memory modules categorize information—procedural for how-tos, episodic for events, and working for real-time context. In the legal domain, these modules track preferred answers for incoming legal questions while storing highly rated user feedback with respect to answers reflective of company standards. These examples reflect a more scalable and maintainable approach than evolving the prompt over time. 
  2. Memory Decay Rates: Not all memories are created equal. Align data retention with its relevance. For example, a financial advisor’s AI might retain client profiles long-term but discard outdated market news.
  3. Memory Augmentation: Expand capabilities with external data. Insurance agents use memory systems enhanced with historical claims to assess new ones accurately.

Memory systems turn one-off AI interactions into ongoing relationships. Use cases can utilize memory systems to remember tasks and feedback to our AI systems over time. Client focused AI applications apply rich memory for ongoing client engagements, ensuring personalized, informed advice. Designing memory systems requires precision. Speed, accuracy, and security are non-negotiable. 

Final Thoughts

AI memory systems blur the line between human-like recall and machine efficiency. Imagine an AI that not only remembers your preferences but learns and adapts. In financial advising or legal counsel, these systems could redefine what personalized service truly means.

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Karl Simon
Co-Founder, CTO