What is model context?

Model context is the information available to an AI system when generating a response. Context may include a user's prompt, retrieved documents, connected business data, prior conversation history, and other relevant information.

More complete and accurate context generally leads to more reliable and useful AI outputs.

Example: An accounting assistant has access to a company's ledger, recent transactions, and financial reports, allowing it to provide answers based on the business's actual financial data.

Related terms: Grounding, MCP (Model Context Protocol), Agentic General Ledger™ (AGL®)