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American Focus > Blog > Tech and Science > From LLMs to hallucinations, here’s a simple guide to common AI terms
Tech and Science

From LLMs to hallucinations, here’s a simple guide to common AI terms

Last updated: May 25, 2025 1:53 pm
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From LLMs to hallucinations, here’s a simple guide to common AI terms
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Artificial intelligence (AI) is a complex and rapidly evolving field that is constantly pushing the boundaries of technological innovation. As researchers and scientists delve deeper into the realm of AI, they often use technical jargon and terminology that can be confusing to those outside the industry. To help make sense of this complex world, we have compiled a glossary of some of the most important terms and phrases used in the field of artificial intelligence.

Artificial General Intelligence (AGI) is a term that refers to AI systems that are more capable than the average human at a wide range of tasks. Different experts and organizations have varying definitions of AGI, but the common thread is that it represents AI systems that can outperform humans in various cognitive tasks. The concept of AGI is still evolving, and researchers continue to explore new methods to achieve this level of intelligence.

An AI agent is a tool that utilizes AI technologies to perform tasks on behalf of users. These agents go beyond basic chatbots and can handle more complex tasks such as booking appointments, managing expenses, or writing code. AI agents are autonomous systems that leverage multiple AI technologies to execute multi-step tasks, and the infrastructure supporting these agents is continuously being improved.

Chain-of-thought reasoning is a method used in AI models to break down complex problems into smaller, intermediate steps. By reasoning through a series of logical steps, AI models can arrive at more accurate solutions, especially in tasks requiring logic or coding. These reasoning models are developed from large language models and optimized for chain-of-thought thinking through reinforcement learning.

Deep learning is a subset of machine learning that utilizes artificial neural networks to make complex correlations in data. Inspired by the structure of neurons in the human brain, deep learning algorithms can identify important features in data and learn from errors to improve their outputs. However, deep learning systems require large amounts of data and longer training times, making them more costly to develop.

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Distillation is a technique used to extract knowledge from large AI models by training a smaller “student” model to approximate the behavior of a larger “teacher” model. This process allows for the creation of more efficient models with minimal loss of accuracy. Distillation has been used by AI companies to develop faster and more efficient models, but using it to replicate a competitor’s models may violate terms of service agreements.

Fine-tuning refers to the process of further training an AI model to optimize its performance for a specific task or domain. By feeding the model new, specialized data, researchers can enhance its capabilities for a particular use case. Many AI startups are fine-tuning large language models to tailor them for specific industries or tasks, leveraging their domain-specific knowledge to improve performance.

Generative Adversarial Networks (GANs) are a type of machine learning framework used in generative AI to produce realistic data. GANs consist of two neural networks, one of which generates data while the other evaluates its authenticity. This framework has been instrumental in developing tools like deepfakes and other realistic data generation applications.

As the field of artificial intelligence continues to advance, it is essential to understand the terminology and concepts that underpin this groundbreaking technology. By familiarizing ourselves with these key terms, we can better comprehend the complexities of AI and its potential to revolutionize industries across the globe. Generative Adversarial Networks (GANs) have revolutionized the field of artificial intelligence by introducing a unique structure that pits two models against each other in a structured competition. The generator model is tasked with creating output that can deceive the discriminator model, which in turn is trained to identify artificially generated data. This adversarial setup allows the models to improve over time, with the discriminator acting as a classifier on the generator’s output.

The competitive nature of GANs, where each model strives to outperform the other, results in more realistic AI outputs without the need for constant human intervention. However, GANs are most effective in specialized applications, such as generating realistic photos or videos, rather than for general-purpose AI tasks.

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One of the major challenges faced by AI models is the issue of hallucination, where the AI generates incorrect or misleading information. This can have serious consequences, such as providing harmful medical advice in response to a health query. To mitigate the risks associated with hallucinations, users are often advised to verify AI-generated answers independently.

Hallucinations typically occur due to gaps in training data, especially in general-purpose AI models like foundation models. These gaps make it challenging to train AI models comprehensively enough to address all possible questions accurately. As a result, there is a shift towards developing more specialized and domain-specific AI models to minimize knowledge gaps and reduce the prevalence of hallucinations.

In the AI industry, the process of running an AI model to make predictions or draw conclusions from existing data is known as inference. Different types of hardware can perform inference, but the efficiency of inference varies depending on the hardware used. Larger models may require high-end AI accelerators to make predictions quickly and accurately.

Large Language Models (LLMs) are deep neural networks composed of billions of parameters that learn the relationships between words and phrases to generate language representations. These models are trained on vast amounts of text data to predict the most likely patterns in response to user input. AI assistants like ChatGPT, Google’s Gemini, and Microsoft Copilot are powered by LLMs to provide natural language interactions.

Neural networks form the backbone of deep learning algorithms, inspired by the interconnected pathways of the human brain. The rise of graphical processing hardware has significantly enhanced the capabilities of neural networks, enabling AI systems to excel in various domains like voice recognition and drug discovery.

Training is a critical process in developing machine learning AI models, where data is fed to the model to learn patterns and generate useful outputs. Training shapes the AI model by enabling it to adapt its outputs based on the characteristics of the input data. While not all AI models require training, self-learning systems that undergo training tend to be more versatile and adaptive.

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Transfer learning is a technique that leverages previously trained AI models to expedite the development of new models for related tasks. By reapplying knowledge gained from previous training cycles, transfer learning can drive efficiency savings and help mitigate data limitations in new AI model development.

When it comes to AI training, weights play a crucial role in determining the importance of different features within the data. These weights are essentially numerical parameters that guide the AI model in understanding which aspects of the input data are most significant for the given task. As the model goes through the training process, these weights are adjusted to align the model’s output with the desired target.

For instance, in the context of a housing price prediction model trained on real estate data, weights would be assigned to features like the number of bedrooms, bathrooms, property type, parking availability, and more. These weights reflect the influence of each feature on determining the property’s value based on the dataset provided.

However, it’s important to acknowledge that certain AI models relying on transfer learning may encounter limitations. While transfer learning can help in gaining general capabilities, these models might require additional training data to excel in their specific domain of focus. This process, known as fine-tuning, involves adjusting the model’s weights to better suit the target task.

In conclusion, weights serve as the building blocks of AI training, shaping how the model interprets and processes the input data. By understanding the significance of weights and how they impact the model’s output, developers can fine-tune AI models to achieve optimal performance in their intended applications.

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