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Deferred Context Engine

Source
factory.ai
Date
Why it matters

Loading every tool and schema on every turn is a large hidden tax; deferring them until a task needs them cuts input tokens proportionally to how big your catalog has grown.

Terms in this piece · Glossary
  • MCP — The Model Context Protocol — an open standard that lets any AI assistant plug into any tool or data source without custom integration code.
  • token — The chunk of text a model reads and writes in — roughly three-quarters of a word — and the unit AI usage is billed in.
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