Most retrieval today is vector-based: chunk documents, embed them, fetch the nearest. A knowledge graph takes a different shape — it represents data as nodes (entities like people, products, accounts) and edges (the relationships between them). That structure lets a system answer questions that depend on connections, not just similarity, and traverse from one fact to related ones.
For grounding AI, graphs and vectors are complementary. Vector retrieval is great at “find me text that’s about this”; a graph is great at “what’s connected to this, and how.” Using a graph as the retrieval layer is often called graph RAG, and some systems combine it with vector search. Microsoft Research’s GraphRAG paper describes a well-known version: a model extracts an entity graph from the documents, summarizes each cluster of closely related entities, and answers from those summaries rather than from retrieved chunks. (The released GraphRAG library also has a local search mode that finds starting entities by vector similarity.) Its authors built it for whole-corpus questions such as “what are the main themes in this dataset?”, which retrieving a handful of similar chunks can’t answer.
Hear it from the guest
“If you look at anti-money laundering, it's going to jump from the legal entity to account to transaction. So multi-hop reasoning is nothing but ability for you to go jump between all these disparate data sets that are in different systems and trying to rationalize between their relationships and make decisions.”
“Knowledge graph is all about entities and relationships. Now context graph is building on top of a knowledge graph.”
Quotes lightly edited to remove filler words.
Sources
- Hogan et al.: Knowledge Graphs — A comprehensive introduction to knowledge graphs, including graph data models, query languages, and how entities and relationships are represented; checked October 26, 2026.
- Edge et al. (Microsoft Research): From Local to Global: A Graph RAG Approach to Query-Focused Summarization — Introduces GraphRAG, which builds an entity knowledge graph from documents, motivated by standard RAG failing on global questions such as the main themes of a whole corpus; checked October 26, 2026.
Go deeper
- Vector database or knowledge graph — which should you use for AI retrieval? AI, decoded · Vector Database vs. Knowledge Graph for AI Retrieval
- Do you have to centralize your data before AI agents can use it? AI, decoded · Centralizing Data Before AI: Why the Lake Doesn't Save You
- Neo4j: MATCH patterns in Cypher docs
Trace how relationship types and direction determine the returned rows. The examples use a sample Neo4j graph; matching stored facts does not verify their accuracy.
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