Toward Enactive Artificial Intelligence

As artificial intelligence (AI) continues to evolve and mature, recent AI practices have moved beyond large language models (LLMs) and text or image generation tasks, increasingly integrating tools, agents, and harnesses to solve real business and industrial problems. However, the power of AI is not verified under these real-world complex systems for various reasons, considering reliability, feasibility, resilience, and responsibility requirements in real commercial and industrial operations. This study synthesizes adjacent research and introduces Enactive AI as a conceptual framework for enterprise and industry reasoning, site-level decision support, and execution feedback. Four complementary roles organize the framework: an Organizational World defines operations management logic and an organizational behavior world model behind an enterprise from a strategic-institutional horizon; a Site World defines a physically bounded industrial optimization and execution world model from an operational-realization horizon; Schema Intelligence provides the coupling mechanism between two world models to weave various AI applications via two models; and Enactive Decision Cycle triggers the self-evolving dynamic process to update and audit the entire framework. By foregrounding decision intelligence in complex systems, Enactive AI expands the frontier of AI from model capability to system-aware action, opening new possibilities for scalable, governable, and socially valuable AI deployment. Enactive AI points toward a future in which AI progress is measured not only by what models can generate or automate, but by how reliably intelligent systems can support consequential action, responsible governance, and durable social value in the complex systems that shape modern life, which we believe will define the next frontier of AI research for enterprise-level and industrial complex systems.

Recent advances in generative and embodied AI have been driven by large-scale predictive learning over multimodal data. However, the resulting systems remain largely based on passive training regimes where linguistic regularities create the scaffold onto which information from other modalities is attached. Conversely, neuroscience and cognitive science suggest that biological intelligence is organized in the opposite way, where grounded world models acquired through interaction with the environment provide the semantic scaffold to which language is attached. Here, we illustrate five examples of neural circuits supporting grounded world modelling, which underlie navigation in physical and conceptual spaces, affordance-based perception and interaction with objects, active perception and exploratory learning, allostatic control and emotion, and the distinction between self- and world-generated outcomes. These examples highlight several features largely missing from current embodied AI, including the role of intrinsic dynamics as a foundation for learning, the centrality of action in aligning these dynamics with the external world, the prominence of autonomous experience and open-ended learning over passive assimilation of externally provided data, and the fact that early predictive and control mechanisms scaffold higher cognitive abilities such as reasoning, conceptual navigation, planning, imagination, understanding others' minds, and communication. Finally, we discuss whether and how principles derived from biological systems may inform future embodied AI, including training regimes based on social interaction to construct world models that are not only grounded but also socially shared and aligned with human norms and values.

Embodied AI is moving from isolated perception or action modules toward physical agents that understand, plan under goals, act through robot bodies, monitor progress, and improve from experience. Existing systems address this loop only in parts: end-to-end policies generate actions but often lack spatial reasoning, planning, and execution assessment, while robot-agent systems orchestrate tools or specialists but do not learn a shared representation. This fragmentation limits general Physical Agentic AI. We present ACE-Brain-0.5, a unified embodied foundation model that organizes robot intelligence into five coupled functions: spatial perception, decision making, embodied interaction, self-monitoring, and self-improvement. Built on ACE-Brain-0, which established spatial intelligence as a shared scaffold across robot platforms, ACE-Brain-0.5 extends an understanding-centric model into a closed-loop foundation model. A single 8B backbone instantiates the first four functions: grounding objects and affordances, reasoning over 3D and egocentric spatial relations, decomposing instructions into subgoals, generating navigation and manipulation actions, and estimating progress for verification and recovery. To unify these capabilities without cross-task interference, we introduce SSR+, which extends Scaffold-Specialize-Reconcile with a Reactivate stage after task-vector merging. The fifth function, self-improvement, is realized by a companion framework that updates external execution state, including task schemas, spatial memory, and failure-recovery cases, from rollouts. Across fifteen benchmarks, ACE-Brain-0.5 improves over ACE-Brain-0 on 14 of 18 spatial perception and grounding benchmarks, achieves competitive navigation and manipulation performance, and provides strong progress estimation in ID and OOD settings. Together, these results mark an early step toward general Physical Agentic AI.