Inside the AI Mind: How Context Windows Shape Conversations

Have you ever wondered why sometimes an AI chatbot seems to "forget" what you discussed earlier in a long conversation? The answer lies in something called a context window essentially the AI's working memory. Let's dive deep into this fundamental concept that determines how much information an AI can keep track of at once.
What is a Context Window?
Think of a context window as the AI's short-term memory or workspace. Just like how you can only hold a limited amount of information in your head while working on a problem, AI models have a finite capacity for processing information simultaneously.
The context window determines:
How long a conversation the AI can maintain without losing track of earlier details.
How much text the model can analyze at once.
The maximum amount of information available for generating responses.
A Simple Analogy
Imagine you're reading a book through a small window that only shows a few pages at a time. As you move the window forward to read new pages, the earlier pages disappear from view. That's exactly how context windows work in AI models.
How Context Windows Work in Practice
Let's walk through a practical example:
Scenario 1: Short Conversation (Within Context Window)
You: "What's the weather like in Paris today?"
AI: "I'd need to check current weather data for Paris..."
You: "What about London?"
AI: "I can help with London weather too, but like with Paris, I'd need current data..."
In this case, the AI remembers your Paris question when answering about London because the entire conversation fits within its context window.
Scenario 2: Long Conversation (Exceeding Context Window)
[After a very long conversation about travel, food, history, etc.]
You: "Going back to what we discussed about Paris weather..."
AI: "I don't see any previous discussion about Paris weather in our conversation..."
Here, the AI has "forgotten" the earlier part because it exceeded the context window limit.
Understanding Tokens: The Building Blocks
Context windows aren't measured in words or characters, but in tokens. But what exactly is a token?
What is a Token?
A token is the smallest unit of text that AI models work with. Unlike humans who think in terms of individual characters or letters, AI models process language in tokens, which can be:
Whole words: "cat" = 1 token
Parts of words: "unhappy" might be 2 tokens ("un" + "happy")
Characters: Individual letters in some cases
Punctuation: Periods, commas, etc.
Tokenization Examples
Let's see how different sentences get tokenized:
"The cat sat" → 3 tokens: ["The", "cat", "sat"]
"I'm happy" → 3 tokens: ["I", "'m", "happy"]
"Antidisestablishmentarianism" → 6 tokens: ["Anti", "dis", "establish", "ment", "arian", "ism"]
Rule of thumb: In English, roughly 1 word ≈ 1.3-1.5 tokens. So 100 words ≈ 130-150 tokens.
The Evolution of Context Window Sizes
Context windows have grown dramatically over the years:
Era | Model Examples | Context Window Size | Real-world Capacity |
Early LLMs (2020-2021) | GPT-3 | ~2,000 tokens | ~1,500 words |
Mid-generation (2022-2023) | GPT-3.5 | ~4,000 tokens | ~3,000 words |
Modern LLMs (2024-2025) | GPT-4, Claude | 128,000+ tokens | ~100,000 words |
To put this in perspective, 128,000 tokens can hold:
A short novel (~100 pages)
Multiple research papers
Entire codebases
Hours of conversation transcripts
What Actually Goes Into a Context Window?
A context window isn't just your conversation with the AI. It typically contains:
1. System Prompt
Hidden instructions that define the AI's behavior and capabilities. These can be quite lengthy and take up significant space.
2. User Input and AI Responses
Your questions and the AI's answers throughout the conversation.
3. Additional Context
Documents: PDFs, articles, or files you've uploaded
Code: Programming files or snippets
Retrieved Information: Data pulled from external sources (in RAG systems)
Tool Results: Output from functions or APIs the AI has called
System Prompt: 500 tokens Previous conversation: 2,000 tokens Uploaded document: 5,000 tokens Your current question: 50 tokens Available space for response: 2,450 tokens (out of 10,000 total)
The Challenges of Long Context Windows
While bigger might seem better, long context windows come with trade-offs:
1. Computational Cost
Processing scales quadratically. A context window twice as long requires roughly 4x the computing power, making responses slower and more expensive.
2. The "Lost in the Middle" Problem
Research shows that AI models perform best when relevant information is at the beginning or end of the context window. Information buried in the middle often gets overlooked or misinterpreted.
Example: If you upload a 50-page document and ask about a detail mentioned on page 25, the AI might miss it even though it's technically within the context window.
3. Information Overload
Just like humans, AI’s can become overwhelmed by too much information, leading to:
Less focused responses
Increased hallucinations
Difficulty identifying the most relevant information
4. Security Vulnerabilities
Longer context windows provide more space for malicious actors to hide harmful prompts, making it harder for safety systems to detect problematic content.
Best Practices for Working with Context Windows
1. Structure Your Information
Put the most important information at the beginning or end
Use clear headings and organization
Summarize key points explicitly
2. Be Context-Aware
Monitor conversation length in extended sessions
Periodically summarize important points
Start fresh conversations for new topics
3. Optimize Document Uploads
Include relevant sections rather than entire documents
Provide clear context about what you're looking for
Use concise, well-organized materials
4. Understand Your Model's Limits
Check the context window size of your chosen AI model
Be aware that not all tokens are equal in terms of attention
Consider breaking complex tasks into smaller chunks
Conclusion
Context windows are fundamental to understanding how AI models work and how to use them effectively. While the technology continues to evolve rapidly, the core principle remains the same: AI models have limited working memory, and understanding this limitation is key to getting the best results.
Whether you're having a casual conversation with a chatbot or using AI for complex professional tasks, being mindful of context windows will help you:
Structure your interactions more effectively
Understand why certain responses might seem "forgetful"
Optimize your use of AI tools for better results
As context windows continue to grow and become more sophisticated, we can expect AI interactions to become even more natural and capable. But for now, thinking of context windows as the AI's working memory – with all its capabilities and limitations – will serve you well in any AI-powered task.
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Written by

Harshi Shah
Harshi Shah
Hey there! I'm a tech enthusiast, developer, and blogger who loves breaking down complex concepts into simple, digestible content. From coding tips to deep dives into the latest tech trends, I write to share knowledge and spark discussions. Passionate about web development, problem-solving, and lifelong learning. Let’s explore the tech world together—one blog at a time!