To avoid AI hallucinations, Square's AI tools translate merchant queries into deterministic actions. For example, a query about sales on rainy days prompts the AI to write and execute real SQL code against a data warehouse, ensuring grounded, accurate results.

To improve an agent's performance on a specific task like prompting the VO3 video model, create a dedicated 'onboarding document'. Use a tool like Perplexity to gather best practices from experts, compile them into a doc, and instruct the agent to reference it. This shortcuts the learning curve and embeds expertise.

The effectiveness of agentic AI in complex domains like IT Ops hinges on "context engineering." This involves strategically selecting the right data (logs, metrics) to feed the LLM, preventing garbage-in-garbage-out, reducing costs, and avoiding hallucinations for precise, reliable answers.

AI data agents can misinterpret results from large tables due to context window limits. The solution is twofold: instruct the AI to use query limits (e.g., `LIMIT 1000`), and crucially, remind it in subsequent prompts that the data it is analyzing is only a sample, not the complete dataset.

A key differentiator is that Katera's AI agents operate directly on a company's existing data infrastructure (Snowflake, Redshift). Enterprises prefer this model because it avoids the security risks and complexities of sending sensitive data to a third-party platform for processing.

To enable AI tools like Cursor to write accurate SQL queries with minimal prompting, data teams must build a "semantic layer." This file, often a structured JSON, acts as a translation layer defining business logic, tables, and metrics, dramatically improving the AI's zero-shot query generation ability.

To make an AI data analyst reliable, create a 'Master Claude Prompt' (MCP) with 3 example queries demonstrating key tables, joins, and analytical patterns. This provides guardrails so the AI consistently accesses data correctly and avoids starting from scratch with each request, improving reliability for all users.

AI agents are simply 'context and actions.' To prevent hallucination and failure, they must be grounded in rich context. This is best provided by a knowledge graph built from the unique data and metadata collected across a platform, creating a powerful, defensible moat.

Snowflake moved beyond basic AI tools by building proprietary agentic models. One agent analyzes campaign data in real-time to optimize ad spend and ROI. A second 'competing agent' provides on-demand talking points for sales and marketing to use against specific competitors, solving a massive enablement challenge.