Chapter 2 discusses intelligent agents, which are systems capable of perceiving their environment and acting based on that perception through various types of sensors and actuators. It categorizes agents into software agents and physical agents, and further describes types of agent programs including simple reflex agents and learning agents. The chapter emphasizes the importance of rational behavior in agents, illustrating performance measures and the PEAS (Performance measure, Environment, Actuators, Sensors) framework for designing intelligent agents.