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LLMs Need Context: Startup Tackles Real-Time AI Challenges

TSC Desk by TSC Desk
February 5, 2026
in News
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LLMs Need Context: Startup Tackles Real-Time AI Challenges

The ‘brownie recipe problem’: why LLMs must have fine-grained context to deliver real-time results

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Instacart Faces the ‘Brownie Recipe Problem’ in AI-Powered Grocery Delivery

Instacart is tackling a significant challenge in AI-driven grocery delivery systems, termed the “brownie recipe problem” by CTO Anirban Kundu. This issue highlights the difficulty of providing real-time, personalized shopping experiences using large language models (LLMs). The complexity arises from the need to integrate user preferences with real-world availability, all within a tight timeframe to keep users engaged.

Understanding the Company’s Approach

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Instacart’s solution involves breaking down the processing into manageable parts. Initially, data is fed into a foundational model that comprehends user intent and product categorization. This data is then processed by small language models (SLMs) that handle specific tasks like catalog context and semantic understanding. These models are crucial for suggesting relevant product substitutions and understanding user needs, such as identifying healthy snacks for children.

The logistical aspect also plays a critical role. For example, the model must account for the perishability of items like ice cream and calculate delivery times accordingly. This layered approach allows Instacart to address the complexity of real-time grocery delivery without overwhelming the system’s capacity.

Industry Context and Competition

Instacart’s strategy reflects a broader trend in the tech industry where companies are moving away from monolithic AI systems. Instead, they favor modular systems with specialized agents. This approach aligns with the Unix philosophy of using smaller, focused tools. By integrating with OpenAI’s model context protocol (MCP) and Google’s Universal Commerce Protocol (UCP), Instacart ensures seamless interaction with various merchant systems and third-party platforms.

However, challenges remain. The company faces issues with integration reliability and latency, which can affect user experience. Kundu notes that a significant amount of time is spent addressing these error cases, highlighting the need for continuous refinement in AI systems.

Future Implications

As Instacart continues to refine its AI-driven delivery system, the focus remains on improving reliability and speed. The company’s efforts to address the “brownie recipe problem” could set new standards in the industry, influencing how other companies approach real-time personalization and context integration. Instacart’s progress in this area will be closely watched by competitors and could have significant implications for the future of AI in e-commerce.

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TSC Desk

The TSC News Desk is the core of Tech Scoop Canada — a focused editorial team dedicated to covering the most important stories in Canada’s technology and startup ecosystem. Our writers, editors, and analysts work with accuracy and clarity to bring readers reliable, timely, and meaningful coverage. From Canadian startup funding rounds to policy developments shaping innovation, the TSC News Desk tracks the companies, founders, and technologies moving the country forward. With a commitment to journalistic integrity and a deep understanding of Canada’s tech landscape, the team ensures readers stay informed and ahead of the curve. TSC News Desk is where Canadian innovation meets trustworthy reporting.

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