top of page

How function calling and tool use work in advanced AI models

ree

The mechanisms behind structured outputs, API integration, and multi-step automation in ChatGPT, Claude, and Gemini.

Function calling has transformed AI chatbots from passive conversational agents into active orchestrators capable of executing tasks, interacting with external systems, and generating structured outputs. Modern AI models like ChatGPT-5, Claude Opus, and Gemini 2.5 Pro have evolved beyond simple text generation by embedding specialized tool-use frameworks directly into their transformer architectures.

This article explores the technical foundations of function calling, explains how leading chatbots implement tool integration differently, and compares their performance in structured reasoning, API automation, and multi-step workflows.



Function calling enables AI models to act, not just respond.

Structured request-response pipelines allow chatbots to interact with APIs, databases, and external tools without breaking conversational flow.


Traditionally, LLMs produced free-form text outputs, which made them unsuitable for structured operations like triggering APIs, generating JSON schemas, or chaining multi-step tasks. Function calling introduces a formalized interface where the model outputs a structured JSON object instead of natural language.

Component

Role in Function Calling

Example

Schema Definition

Specifies the available functions and required arguments

{ "function": "get_stock_price", "params": {...} }

Model Invocation

The LLM decides when to call a function based on the query

"Please fetch latest Tesla stock" → triggers API

Execution Layer

Sends structured request to API or service

REST, GraphQL, SQL

Response Integration

Feeds tool output back into the model context

Model summarizes API response

This architecture allows AI chatbots to handle workflows like fetching weather data, analyzing spreadsheets, querying SQL databases, or summarizing PDFs without manual intervention.



OpenAI ChatGPT integrates native function calling and tool orchestration.

GPT-4o and GPT-5 embed tool use deeply in the transformer stack, enabling seamless multi-step workflows.


OpenAI introduced function calling in GPT-4 Turbo, later refining it in GPT-4o and GPT-5. Unlike earlier models, GPT-5 integrates tool-awareness directly into the attention layers, allowing it to plan, call, and interpret results more efficiently.

Key technical features in ChatGPT’s implementation:

  • JSON-native outputs: GPT models can produce exact structured schemas matching API specs.

  • Automatic tool selection: The model decides when and which function to call without explicit prompting.

  • Multi-step orchestration: GPT-5 supports chaining multiple API calls for complex tasks.

  • Integrated memory retrieval: Tool results persist in context, enabling adaptive reasoning.

Feature

GPT-4 Turbo

GPT-4o

GPT-5

Output Type

Text + JSON hybrid

JSON-native

Fully schema-validated

Multi-step Support

Limited

Partial

Yes, deeply embedded

Multimodal Tools

No

Yes (images, tables, audio)

Full cross-modal

Orchestration

Manual

Semi-automatic

Autonomous chaining

With GPT-5, OpenAI also introduced persistent tool contexts — allowing multi-turn conversations to reuse results fetched earlier without repeating function calls.



Claude uses semantic tool use with reflection-driven decisions.

Anthropic focuses on safety, structured accuracy, and human-like validation before executing external actions.

Claude Opus and Claude Sonnet support function calling, but their approach differs from OpenAI’s. Anthropic uses a semantic intent classifier within the transformer pipeline to decide whether a function call should be triggered. Before sending a request, Claude internally reflects on the relevance and safety of the action.


Claude’s design emphasizes:

  • Safety-first function routing: Claude validates the intent before calling any external API.

  • Confidence-weighted execution: If model certainty is low, it may summarize options rather than act.

  • JSON schema adherence: Claude maintains high reliability in structured data outputs.

  • Chained reasoning with external tools: Particularly effective for PDF parsing, financial data retrieval, and complex analytics.

Claude Model

Function Calling Support

Strengths

Limitations

Claude 3 Sonnet

Partial schema-based

Good at structured documents

No native multimodal APIs

Claude 3 Opus

Yes, reflection-driven

Consistent tool handling

Lower automation depth

Claude 4.1 Opus

Advanced JSON + semantic mapping

Best accuracy for complex APIs

Slower in multi-step tasks

Claude’s reflective loop makes it better suited for enterprise-grade integrations, where compliance, auditability, and correctness take priority over raw speed.


Gemini integrates deep grounding and tool execution within Google’s ecosystem.

Gemini’s function calling combines multimodal embeddings, retrieval grounding, and live data fusion.

Gemini 2.5 Pro offers the most data-integrated function calling framework among top chatbots, thanks to its native connection with Google Search, Workspace APIs, and Knowledge Graphs. Unlike ChatGPT and Claude, Gemini prioritizes real-time external grounding.


Key technical differentiators:

  • Native Google integration: Accesses Drive, Sheets, Gmail, Docs, and Knowledge Graph APIs directly.

  • Dynamic schema adaptation: Can infer missing function parameters based on retrieved context.

  • Hybrid reasoning + retrieval: Combines tool outputs with RAG-enhanced embeddings for more accurate results.

  • Cross-modal orchestration: Handles vision, text, and audio functions simultaneously.

Gemini Model

Function Calling Support

Grounding Capability

Best Use Cases

Gemini 1.5 Pro

Basic JSON schemas

Limited

Document parsing

Gemini 2.5 Flash

Optimized for speed

Partial grounding

Fast data lookups

Gemini 2.5 Pro

Full orchestration engine

Native Google grounding

Multi-tool enterprise workflows

Gemini’s ability to natively fuse external APIs with multimodal embeddings makes it particularly effective in analytics, financial modeling, and enterprise dashboards.


Comparison of function calling and tool use across AI chatbots.

Feature

ChatGPT (GPT-5)

Claude Opus

Gemini 2.5 Pro

Schema Compliance

Full JSON-native

High

Dynamic schema mapping

Tool Automation

Fully autonomous

Reflection-driven

Integrated with retrieval

Chained Execution

Yes, multi-step

Limited

Yes, API-first

Multimodal Tool Use

Fully supported

Partial

Fully supported

Grounding

Tool-based retrieval

Minimal

Native Google integration

Best For

General-purpose workflows

Accuracy-critical APIs

Complex enterprise pipelines



The evolution of tool use changes how chatbots operate.

GPT-5 dominates automation, Claude optimizes accuracy, and Gemini leads integration.

  • ChatGPT-5 focuses on autonomous orchestration, enabling multi-step workflows that blend reasoning, data access, and structured output generation.

  • Claude Opus prioritizes controlled execution, favoring reflective reasoning and compliance-focused validation before using tools.

  • Gemini 2.5 Pro integrates deep grounding and Google ecosystem APIs, making it the most capable chatbot for enterprise automation.


Function calling has turned modern LLMs into actionable AI agents, expanding their capabilities far beyond conversational tasks — enabling automation across analytics, research, and business operations.


____________

FOLLOW US FOR MORE.


DATA STUDIOS


bottom of page