blog / AI
AI10 March 20253 min read

Claude 3.7 and the rise of agentic AI — this is the inflection point

Anthropic released Claude 3.7 Sonnet in February 2025 with extended thinking mode. Combined with the MCP protocol, something important just shifted.

by Matt Roberts

Anthropic released Claude 3.7 Sonnet on February 24th, 2025, and I think this one is worth stopping and writing about properly. Not because it's the most capable model ever, but because of what it represents in combination with the direction the industry is moving.

Claude 3.7 introduces "extended thinking", a mode where the model can spend more time reasoning through a problem before responding, making its chain-of-thought visible and allowing substantially more careful reasoning on hard problems. The benchmark improvements are real. But the more interesting story is what's happening around the model.

The agentic shift

In late 2024, Anthropic released the Model Context Protocol (MCP), an open standard for connecting AI models to external tools and data sources. The idea: instead of every AI product building its own integrations, you have a common protocol that lets any compatible tool expose itself to any compatible AI.

Since the release, there's been a wave of MCP server implementations: tools connecting Claude to GitHub, to file systems, to web browsers, to databases, to APIs. The ecosystem is building fast.

Combined with Claude 3.7's improved reasoning, you have a model that can think carefully through multi-step problems and has a standardised way to take actions in the world. That's the agentic combination that changes what's possible.

What I've been actually building

I've been using Claude with MCP integrations for the past month. Concretely:

I set up a workflow where Claude has access to my file system (within a scoped directory) and a web search tool. I can ask it to research a topic, identify the most relevant sources, summarise them, draft a document, and save it. That's a workflow that previously required me to be present and directing at every step. Now I describe the outcome and review the result.

Is it perfect? No. The model makes decisions I wouldn't make, misunderstands ambiguous requirements, occasionally goes down a wrong path before self-correcting. The oversight requirement hasn't gone away. But the ratio of my time to output has changed significantly.

Why "inflection point" isn't hyperbole

I've been careful not to use terms like "inflection point" loosely; the AI world has too many of them already. But here's my reasoning.

The previous generation of AI tools augmented human tasks. They made writing faster, made code scaffolding faster, made research faster. The human was still the actor; the AI was the tool.

What's emerging now is different. The human is increasingly the reviewer rather than the actor. You describe intent, define constraints, specify outcomes, and the AI does the work. Your job is to check, redirect, and refine.

That's a different relationship with technology. It changes what skills matter, what bottlenecks exist, and what "doing my job" actually looks like.

I don't know exactly where this leads. What I do know is that the people and organisations who figure out how to work effectively in this new mode will have a real advantage over those who wait.

Now feels like the right time to start.

#claude-3-7#anthropic#agentic-ai#mcp#extended-thinking
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