Analysis · Engineering · 2026
A team builds an agent on a state-of-the-art model. It works in the demo, then starts producing baffling mistakes. The instinct is to say 'we need a better model'. That is almost always the wrong diagnosis.
The thesis
A model's raw capability is general-purpose. Your business is not. No amount of intelligence compensates for information that is simply absent.
The symptom
The test that settles it takes five minutes. Take a case it got wrong, and manually supply the model with everything a competent colleague would have had in front of them. If it answers correctly, the subject is context. This test saves weeks of migrating models to no effect.
| Observed symptom | The reflex that fails | What to look at |
|---|---|---|
| The agent invents an internal procedure | Move to a more powerful model | Give it the procedure — it was nowhere in its context |
| It applies an out-of-date rule | Add a "be current" instruction | Fix the source: an obsolete document is still indexed |
| It is right on 8 cases and wrong on the 9th | Rewrite the whole prompt | Identify what the 9th case needs that the context lacks |
| It degrades over long conversations | Enlarge the context window | Structure what is kept: a bigger window dilutes as much as it helps |
| It cites one client to another | Strengthen the caution instructions | Partition client data at the access layer, not in the prompt |
The right mental model
The most useful comparison is not the brain, it is onboarding a new joiner. You do not expect a brilliant recruit to guess your pricing structure, your commercial exceptions, or the name of the client who must not be chased on a Friday. You tell them, you give them access to the right tools, and you review their work at the start.
An agent is in the same position, with two differences: it never asks for clarification when something is missing, and it shows no sign of hesitation. Where a new hire comes and asks a question, the agent fills the gap. That is exactly why an incomplete context produces confident errors rather than requests for clarification.
State of the art
Context windows are growing fast. In August 2026, Pokee AI released Pokee-Isaac 28B, a 28-billion-parameter agentic model announced with a window of up to 10 million tokens and presented as deployable on a single GPU such as an RTX 4090. Its stated commercial argument is explicit: running inside the customer boundary.
A necessary caveat: the long-context results published — around 95 on the RULER benchmark between 256K and 4M tokens — come from the vendor's own internal evaluations, published in its own technical report. We are not aware of independent reproduction. It is a claim, not a verified fact, and this article does not treat it as one.
The interest for a European company is not the number. It is the combination of modest size plus very long context plus local execution: it makes credible a scenario that was not credible a year ago, namely an agent reasoning over a substantial document set without those documents leaving your infrastructure. For sectors where data cannot leave, that matters far more than any benchmark point.
Beware the shortcut "big window, so no selection needed". Sending your whole corpus on every request is expensive, slows responses and dilutes the useful signal. A serious architecture selects, whatever the window size — which is what we set out in our guide to RAG for the enterprise.
The real stake
An agent given access to every client file so it can "be more helpful" can cite one client to another. The answer is not to add a discretion instruction to the prompt — an instruction in natural language is not an access control. Partitioning happens at the permission and query layer, upstream of the model.
The same reasoning applies to inbound content: a document uploaded by a third party enters the context and may contain instructions. That is the injection mechanism covered in our analysis of AI agent scope and permissions.
Method
This is the core of our work: wiring an agent to the right sources, with the right partitioning, hosted in Europe. See our custom AI agents and, on choosing self-hostable models, our comparison of the best open-source LLMs.
FAQ
Related guides
How to select the right information before handing it to the model.
Self-hostable models, sorted by verified licence.
The other face of context: what the agent can disclose and modify.
Links verified at publication. Regulatory texts change — always defer to the official source.
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