Context Engineering: The 6 Techniques That Actually Matter in 2026 ( A Comprehensive Guide )

Author(s): Divy Yadav Originally published on Towards AI. Prompt engineering is dead. Context engineering is how production systems work now. Your RAG system returns perfect chunks. Your prompt is beautifully crafted But The LLM still hallucinates. Photo by AuthorThe article discusses the transition from prompt engineering to context engineering in production systems, highlighting that effective performance in 2026 will rely on dynamic context selection, compression, and comprehensive memory management rather than just clever prompts. It outlines six specific techniques that improve the efficiency and accuracy of AI models by focusing on how context is presented and utilized, including selective retrieval of relevant information, context compression to enhance clarity, and hierarchical layouts to signal importance, with an emphasis on continuously adapting to the user’s needs. Read the full blog for free on Medium. Join thousands of data leaders on the AI newsletter. Join over 80,000 subscribers and keep up to date with the latest developments in AI. From research to projects and ideas. If you are building an AI startup, an AI-related product, or a service, we invite you to consider becoming a sponsor. Published via Towards AI