diff --git a/concordia/typing/component_v2.py b/concordia/typing/component_v2.py
new file mode 100644
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--- /dev/null
+++ b/concordia/typing/component_v2.py
@@ -0,0 +1,164 @@
+# Copyright 2023 DeepMind Technologies Limited.
+#
+# Licensed under the Apache License, Version 2.0 (the "License");
+# you may not use this file except in compliance with the License.
+# You may obtain a copy of the License at
+#
+#     https://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+
+"""Base classes for Entity components."""
+
+import abc
+from collections.abc import Mapping
+from concordia.typing import entity as entity_lib
+
+
+ComponentName = str
+ComponentContext = str
+ComponentsContext = Mapping[ComponentName, ComponentContext]
+
+
+class BaseComponent:
+  """A base class for components."""
+
+  def __init__(self):
+    self._entity = None
+
+  def set_entity(self, entity: entity_lib.Entity) -> None:
+    """Sets the entity that this component belongs to."""
+    self._entity = entity
+
+  def get_entity(self) -> entity_lib.Entity:
+    """Returns the entity that this component belongs to.
+
+    Raises:
+      ValueError: If the entity is not set.
+    """
+    if self._entity is None:
+      raise ValueError("Entity is not set.")
+    return self._entity
+
+
+class EntityComponent(BaseComponent):
+  """A building block of an entity.
+
+  Components are stand-alone pieces of functionality insterted into a GameObject
+  that have hooks for processing events for acting and observing.
+  """
+
+  def pre_act(
+      self,
+      action_spec: entity_lib.ActionSpec,
+  ) -> str:
+    """Returns the relevant information for the entity to act.
+
+    This function will be called by the entity to gather all the relevant
+    information from its components before the entity acts.
+
+    Args:
+      action_spec: The action spec for the action attempt.
+
+    Returns:
+      The relevant information for the entity to act.
+    """
+    del action_spec
+    return ""
+
+  def post_act(
+      self,
+      action_attempt: str,
+  ) -> str:
+    """Informs the components of the action attempted.
+
+    This function will be called by the entity to inform the components of the
+    action attempted.
+
+    Args:
+      action_attempt: The action that the entity attempted.
+
+    Returns:
+      Any information that the component needs to bubble up to the entity.
+    """
+    del action_attempt
+    return ""
+
+  def pre_observe(
+      self,
+      observation: str,
+  ) -> str:
+    """Returns relevant information from the component to process observations.
+
+    This function will be called by the entity to inform the components of the
+    observation. The component should return any relevant information that the
+    entity needs to process the observation.
+
+    Args:
+      observation: The observation that the entity received.
+
+    Returns:
+      The relevant information for the object to process the observation.
+    """
+    del observation
+    return ""
+
+  def post_observe(
+      self,
+  ) -> str:
+    """Returns relevant information after processing an observation.
+
+    This function will be called after all components have been informed of the
+    observation. The component should return any relevant information that the
+    entity needs to finalize the observation.
+
+    Returns:
+      Any information that the component needs to bubble up to the entity.
+    """
+    return ""
+
+  def update(
+      self,
+  ) -> None:
+    """Updates the component.
+
+    This function will be called by the entity after all components have
+    received a `post_act` or `post_observe` call. This is an opportunity for the
+    component to update its internal state, and replace any cached information.
+    """
+
+  def get_last_log(
+      self,
+  ):
+    """Returns a dictionary with latest log of activity."""
+    return None
+
+
+class ActingComponent(BaseComponent, metaclass=abc.ABCMeta):
+  """A privileged component that decides what action to take."""
+
+  @abc.abstractmethod
+  def get_action_attempt(
+      self,
+      context: ComponentsContext,
+      action_spec: entity_lib.ActionSpec,
+  ) -> str:
+    """Decides the action of an entity.
+
+    This function will be called by the entity with the context obtained from
+    `pre_act` from all its components to decide the action of the entity.
+
+    Args:
+      context: The context for the action attempt. This is a mapping of
+        component name to the information that the component returned in
+        `pre_act`.
+      action_spec: The action spec for the action attempt.
+
+    Returns:
+      The action that the entity is attempting.
+    """
+    raise NotImplementedError()