AI Glossary

Your go-to guide for understanding key artificial intelligence terms. Simple explanations. Real-world context.

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A

Artificial Intelligence

Technology that allows software or machines to perform tasks that usually require human thinking, such as understanding language, recognizing patterns, or making decisions.

Agent

An AI system that can take actions toward a goal, often by using tools, following instructions, and responding to changing information.

AI Agent

A task-focused agent that uses AI to reason, choose actions, and complete work across systems or data sources.

Algorithm

A set of rules or steps a system follows to solve a problem or complete a task.

API

A connection that allows different software systems to communicate with each other.

Automation

The use of software to complete repeated tasks with less manual effort.

B

Big Data

Very large amounts of information that can be analyzed to find patterns, trends, or useful insights.

Bias

A pattern in data or system behavior that can lead to unfair, incomplete, or inaccurate results.

Bot

A software program designed to perform automated tasks, such as answering questions or processing requests.

Business Intelligence

The process of turning business data into reports, dashboards, and insights for decision-making.

C

Chatbot

A software interface that allows people to interact with a system through conversation.

Cloud Computing

The use of remote servers to store, manage, and process data instead of relying only on a local computer.

Computer Vision

A field of AI that helps computers understand and interpret images or video.

Context Window

The amount of information an AI model can consider at one time when generating a response.

Copilot

An AI assistant designed to help a person complete tasks faster while the person remains in control.

D

Data

Information that can be collected, stored, analyzed, or used by software systems.

Data Source

A system, document repository, database, or application that provides information for an AI tool to use.

Deep Learning

A type of machine learning that uses layered models to recognize complex patterns in data.

Digital Transformation

The process of using digital tools and systems to improve how an organization operates.

Document Intelligence

AI that can read, classify, summarize, or extract useful information from documents.

E

Embeddings

Numeric representations of words, documents, or data that help AI systems compare meaning and find related information.

Enterprise AI

AI designed for business use, with stronger requirements for security, accuracy, governance, and integration.

Entity Extraction

The process of identifying important names, dates, amounts, companies, products, or other structured details in text.

F

Fine-Tuning

Training an existing AI model further so it performs better on a specific task, industry, or data set.

Foundation Model

A large AI model trained on broad data that can be adapted for many different tasks.

G

Generative AI

AI that can create new content, such as text, images, summaries, code, or responses, based on patterns it has learned.

Governance

The policies and controls that guide how AI is used safely, securely, and responsibly inside an organization.

GPT

A type of large language model designed to understand and generate human-like text.

Grounding

Connecting AI responses to trusted business data or source material so answers are more accurate and traceable.

H

Hallucination

An AI response that sounds confident but is incorrect, unsupported, or made up.

Human-in-the-Loop

A workflow where people review, approve, or guide AI output before important actions are taken.

I

Intent Recognition

The process of identifying what a user is trying to do based on their message or request.

Integration

A connection between software systems that lets data, actions, or workflows move between them.

K

Knowledge Base

A centralized collection of information, documents, policies, or answers that teams use to resolve questions.

Knowledge Management

The practice of organizing company information so people can find, trust, and use it more easily.

L

Large Language Model

An AI model trained on large amounts of text so it can understand, summarize, generate, and transform language.

LLM

Short for Large Language Model.

Latency

The delay between a user request and the system response. Lower latency means faster answers.

M

Machine Learning

A method of building software that improves by learning patterns from data instead of being manually programmed for every rule.

Model

The trained system that makes predictions, generates responses, or performs a task based on data.

Multimodal AI

AI that can work with more than one type of input, such as text, images, audio, video, or documents.

N

Natural Language Processing

A field of AI focused on helping computers understand, interpret, and generate human language.

Neural Network

A type of AI model inspired by connected layers of computation that can learn patterns from data.

O

OCR

Short for Optical Character Recognition. OCR converts text inside images, scans, or PDFs into machine-readable text.

Orchestration

Coordinating multiple tools, systems, prompts, or AI agents so they work together in one workflow.

P

Parameters

Internal values a model learns during training that help determine how it responds to inputs.

Prompt

The instruction or input a user gives to an AI system to guide its response.

Prompt Engineering

The practice of writing clear and effective instructions to get better results from an AI system.

R

RAG

Short for Retrieval-Augmented Generation, a method that lets AI use external knowledge sources before generating an answer.

Retrieval-Augmented Generation

An AI approach that searches trusted information sources and uses the results to produce more accurate responses.

Retrieval

The process of finding relevant information from documents, databases, or knowledge systems.

Responsible AI

The practice of designing and using AI in ways that are safe, fair, transparent, and accountable.

S

Sentiment Analysis

AI that estimates whether text expresses a positive, negative, or neutral tone.

Structured Data

Data organized in a consistent format, such as tables, fields, or databases.

Summarization

The process of condensing longer information into a shorter, easier-to-read version.

T

Token

A small unit of text that an AI model processes, such as part of a word, a full word, or punctuation.

Training Data

The information used to teach an AI model how to recognize patterns and produce outputs.

Trust Layer

Controls, citations, permissions, and governance features that help users trust AI-generated answers.

U

Unstructured Data

Information that is not neatly organized into rows or fields, such as documents, emails, PDFs, chats, or call notes.

User Intent

The goal behind a user's question, message, or action.

V

Vector Database

A database designed to store and search information based on meaning and similarity.

Voice AI

AI that can understand, process, or generate spoken language.

W

Workflow Automation

The use of software to complete repeated business tasks with less manual effort.

X

XAI

Short for Explainable AI. XAI focuses on making AI decisions and outputs easier for people to understand.

Z

Zero-Shot Prompting

Asking an AI model to complete a task without giving it examples first.