An AI coding agent is a program that takes a goal, decides on its own which files to read and which commands to run, does them, looks at the results, and repeats until the job is done or it gets stuck. The model is one component. The interesting part is the loop around it.

That distinction is not pedantry. It explains nearly everything people find surprising about these tools - why they are expensive, why they sometimes go badly wrong, and why "the model got better" does not automatically mean your agent got better.

The loop

DECIDE ACT OBSERVE EVERYTHING SEEN SO FAR GOES BACK IN WHICH TOOL,WITH WHAT READ, WRITE,RUN, SEARCH OUTPUT, ERROR,TEST RESULT YOUR GOAL DONE
Decide, act, observe, repeat. Every arrow back is a full round trip to the model.

How that differs from autocomplete

AutocompleteChat assistantAgent
You give itA cursor positionA questionAn outcome
It seesNearby codeWhat you pasteWhatever it decides to open
It canSuggest textSuggest textChange your files and run commands
TakesMillisecondsSecondsMinutes
Fails bySuggesting nonsense you ignoreBeing confidently wrongDoing the wrong thing to real files

That last row is the one to sit with. An agent's failure mode is not a bad suggestion - it is an action. Which is why every serious agent has a permission model, and why the ones that ask nothing are the ones to be careful with. How a tool handles that is one of five things worth comparing.

Why does a better model not automatically mean a better agent?

Because most of what determines the outcome happens outside the model: which files got opened, whether the test output was passed back in full or truncated, whether the agent remembered what it learned three steps ago, whether it was allowed to run the command it needed.

A strong model on a weak harness loses to a mid-tier model on a good one, routinely. The harness is the product.

What they are genuinely good at

Work that is tedious but checkable

Migrations, renames across a codebase, adding tests to existing behaviour, converting formats. The task is clear, and success is verifiable by running something.

Work you could do but keep not doing

The script you have needed for months. The report nobody has time to assemble. Agents are best where the bottleneck is attention rather than skill.

And what they are not

They are also prone to five specific failures worth learning to recognise. And they are bad at problems where the goal cannot be checked. If neither you nor the agent can tell whether the result is right, the loop has nothing to converge on and it will happily produce something plausible and wrong.

They are also bad at reading your mind about intent. "Make this faster" without a measurement is an invitation to optimise the wrong thing convincingly.

A large industrial gear meshing with a toothed rack, in high-contrast black and white.
A gear only does work because something drives it and something reads the result. So does an agent. Photo by Wilhelm Gunkel on Unsplash

If you are starting today

  1. Pick a task you can verify. Something with a test, a build or an obvious visual result.
  2. Write down what "done" means before you start. This is the single biggest predictor of whether it goes well.
  3. Watch the first few runs. Not to babysit - to learn where it goes wrong, which is what tells you what to put in your instructions.
  4. Then write the instruction file. Conventions, what not to touch, how to verify. It is the single most useful thing you will write, and it survives a change of tool.

Did that land?

Three questions on the idea, not the vocabulary.

What most distinguishes an agent from a chat assistant?

Which task suits an agent best?

Why can a mid-tier model on a good harness beat a frontier model on a poor one?

Sources

  1. The loop described here is the common architecture across published agent implementations - see for example the open-source Aider and Cline repositories, whose control flow is readable end to end. Retrieved 6 September 2026.

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