Generative vs Agentic AI: Shaping the Future of AI Collaboration

IBM Technology · 1 year ago

At a glance

Length
7 min
Channel
IBM Technology
Video from
Apr 2025
Rating
⭐⭐ Great video · 2/2
Best for
Professionals evaluating AI solutions and aspiring AI engineers

What this video answers

  • What is the main purpose of generative AI?
  • How does agentic AI differ in its approach to tasks?
  • Can you give a practical example of agentic AI at work?
  • Why would a business choose agentic AI over generative AI?
  • Is one type of AI better than the other?

Understanding Generative and Agentic AI Explained

IBM Technology's exploration of generative versus agentic AI breaks down two distinct approaches to artificial intelligence that are reshaping how we think about AI collaboration. Martin Keen walks viewers through the core differences between these systems, offering clarity on technology that often gets lumped together in popular discourse but operates on fundamentally different principles. The video positions these not as competing technologies but as complementary tools serving different purposes in the AI ecosystem.

The overall impression from the content is educational and forward-looking, aimed at professionals and learners trying to understand where AI is headed. Rather than treating this as a binary choice, the video frames both generative and agentic approaches as essential pillars in the future of intelligent systems. The presentation suggests these technologies will increasingly work together, making it important to grasp their distinct strengths.

Key Differences Between Generative and Agentic Systems

  • Generative AI excels at content creation and image generation, pulling from learned patterns to produce new outputs rather than retrieving existing data
  • Agentic AI leverages large language models with chain of thought reasoning to execute complex, proactive tasks autonomously
  • Real-world examples like personal shopping assistants and conference planning demonstrate agentic AI's practical workflow capabilities beyond content generation
  • Agentic systems require reasoning steps and decision-making loops, making them suitable for multi-step processes that generative systems weren't designed to handle
  • The video emphasizes that understanding these distinctions helps teams deploy the right AI tool for their specific business needs
Featured image for the guide to Generative vs Agentic AI: Shaping the Future of AI Collaboration by IBM Technology

Who Should Watch This AI Comparison

This video suits professionals exploring LLM applications in their organizations, from product managers evaluating AI solutions to developers building AI-enabled features. If you're trying to decide whether a task requires generative capabilities or agentic reasoning, the clarity offered here is invaluable. Technical leaders, data scientists, and AI enthusiasts will all find practical value in distinguishing between these two approaches before committing resources to implementation.

The content is especially relevant for anyone considering IBM's watsonx AI Assistant Engineer certification or exploring agentic AI plus data solutions. IBM positions this as foundational knowledge for the next wave of AI practitioners, making it worth your time whether you're just curious or actively building AI systems. The verdict: essential viewing for anyone serious about staying current with AI's evolution.

Common Questions About Generative Versus Agentic AI

What is the main purpose of generative AI?

Generative AI is designed to create new content—text, images, code, and more—by learning patterns from training data and producing novel outputs based on those learned patterns. It answers the question "What can I create?" rather than "What should I do next?"

How does agentic AI differ in its approach to tasks?

Agentic AI uses large language models combined with chain of thought reasoning to plan, execute, and complete multi-step tasks autonomously. Instead of generating a single response, it reasons through a sequence of actions needed to achieve a goal, making decisions along the way.

Can you give a practical example of agentic AI at work?

The video highlights personal shopping assistants and conference planning as concrete agentic use cases. These systems don't just generate text—they gather information, reason through options, interact with external systems, and execute a series of steps to accomplish a real-world objective.

Why would a business choose agentic AI over generative AI?

Businesses choose agentic AI when they need systems that can independently handle complex workflows, make decisions, and interact with multiple tools or data sources over time. Generative AI alone stops after producing content; agentic AI acts on that understanding to drive outcomes.

Is one type of AI better than the other?

Neither is universally better—they solve different problems. Generative AI powers creativity and content production; agentic AI powers automation and intelligent task execution. The real value lies in understanding which one—or which combination—fits your specific use case.

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Key Terms

Generative AI
Artificial intelligence systems that create new content like text, images, or code by learning patterns from training data.
Agentic AI
AI systems that autonomously plan and execute multi-step tasks using reasoning and decision-making capabilities.
Large Language Models (LLMs)
Neural networks trained on vast text data that can understand and generate human language with contextual awareness.
Chain of Thought Reasoning
A technique where AI systems break down complex problems into sequential logical steps before reaching a conclusion.

Sources: Generative AI · Agentic AI · Large Language Models (LLMs) · Chain of Thought Reasoning — definitions cross-referenced with Wikipedia

Justin’s Take

This video delivers genuine value by cutting through the hype and establishing clear boundaries between two AI paradigms that most people conflate. IBM provides practical examples that stick with you, moving beyond theory into how these systems actually behave in the real world.

The standout strength is how accessible the explanation becomes—no advanced ML background required—while remaining technically honest. If you're evaluating AI tools or simply want to understand the landscape better, this is well worth 15 minutes of your time.

Great video · 2 out of 2

Justin
Justin

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Description

Ready to become a certified watsonx AI Assistant Engineer? Register now and use code IBMTechYT20 for 20% off of your exam → https://ibm.biz/BdndTY

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What’s the difference between generative AI and agentic AI? 🤔 Martin Keen explains how generative AI powers content creation and image generation, while agentic AI uses LLMs and chain of thought reasoning for proactive tasks like personal shopping and conference planning. Discover the future of intelligent AI collaboration! 🚀

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#generativeai #agenticai #ai #llm

Video transcript Accessibility

A full written transcript of this video, provided for accessibility. Select any timestamp to jump the video to that moment.

What's the difference between generative AI and agentic AI? Well, they're two distinct approaches to artificial intelligence. And I think we're all familiar with generative AI, things like chat bots and image generators and the like. And they are really fundamentally reactive systems.

They wait for you to do something, specifically they wait for you to prompt them and once you prompt them, their job is to generate some kind of content based upon what you provided in the prompt. And they're using patterns they learned during training The things that it can generate, well that might be some

text or it might be an image or it may be a piece of code or it maybe some audio. These are all sorts of things that we can generate with generative AI and they're essentially sophisticated pattern matching machines. They've learnt the statistical relationships between words and between pixels and between waves.

And they've learned that from massive data sets. So when you provide a prompt, GenAI predicts what should come next based on its training, but it's work does end at generation. It doesn't take further steps without your input. Now, agentic AI systems, by contrast, those are not reactive.

They are proactive systems. Now, like generative AI, they often start with a user prompt, but that prompt is then used to pursue goals through a series of actions and an agentic system basically goes through a bit of a life cycle. So the way this works is it kind of first of all perceives it

perceives its environment if you like and then once it's done that it can decide an action to take. Once it's decided that action, it can then execute that action, and then once that action has been executed, it can kind of learn from the output and then round and round we go, all with minimal human intervention.

Now, both of these AI approaches often share a common foundation. And that common foundation is large language models or LLMs. LLMs serve as the backbone for chatbots and yeah there's actually other tools that are used for some of these other generative things, diffusion models typically for images and audio,

but for chat bots we use LLMS and LLMs also provide the reasoning engine that powers agentic systems, but before we go any deeper into that let's talk about some real world applications and use cases. Now, maybe this doesn't put me in the best of lights, but I don't think I'm the only one using generative AI

to help with the task of content creation and especially creative content creation. Now, before work this morning, and this is completely true, I used the chatbot to help write the next chapter of my Nelson Demille fan fiction novel and right now you're probably thinking how profoundly cool and absolutely non-nerdy this guy is,

but for many of us gen ai does help with daily tasks. Like let's consider how a Youtuber might use a generative AI system to review scripts and suggest thumbnail concepts and maybe even generate background music, but at each step, there is a human. There is a human creator and that human creator is looking at this generated content

and they are reviewing it, check it's what they want, probably isn't, so then they are refining it as well and they are really going through and directing this whole process. The AI generates possibilities but the human curates them. Now, agentic AI that kind of thrives in scenarios

that require ongoing management and consist of multi-step processes, so not just one thing at a time. So consider a personal shopping agent. Given a product to purchase as input, it actively hunts for availability across platforms, it might monitor price fluctuations, it might handle checkout processes, and it might even coordinate delivery.

Largely by itself, seeking input only from you, only when it's needed. But how does it do that. Well, it turns out that the LLMs that are behind much of generative AI can also be used to provide reasoning capabilities to AI agents. So this essentially here, we're using gen ai's ability to kind of

think in inverted commas there, and it's thinking through problems, and this has a name. It's called chain of thought reasoning. and this is what LLMs are so good at. It's a process where the agent basically breaks down a complex task into smaller logical steps, kind of like how humans tackle difficult problems as well.

So let's imagine one. Let's imagine that we want to have an agent that is planning a complex task like organizing a conference. So what it's going to do is it's going to use gen ai to generate an internal dialog. And that dialog might go something like this. It might say. First I need to understand the conference requirements of the size, the duration, the budget, that sort of thing.

Then I should research available venues matching those parameters. Then it might think well for those venues that meet those requirements I now need to check availability and so on. It's effectively the agent really kind of talking to itself to explore the problem space before taking action.

Gen AI is basically the cognitive engine driving an agent's decision-making. Now looking ahead, the most powerful AI systems probably won't be purely generative or purely agentic. They're going to be intelligent collaborators, that will understand when to explore options through generation and when to commit to courses of action through agentic action.

Like an agent that would know when to generate the next chapter of fan fiction so it's ready after, I don't know, a video shoot. Maybe, uh... Maybe it's ready right now.

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