Core AI Concepts – Part 3
Description
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Lois: Welcome to the Oracle University Podcast! I’m Lois Houston, Director of Innovation Programs with Oracle University, and with me is Nikita Abraham, Team Lead of Editorial Services.
Nikita: Hi everyone! Last week was Part 2 of our conversation on core AI concepts, where we went over the basics of data science. In Part 3 today, we’ll look at generative AI and gen AI agents in detail. To help us with that, we have Himanshu Raj, Principal AI/ML Instructor. Hi Himanshu, what’s the difference between traditional AI and generative AI?
Himanshu: So until now, when we talked about artificial intelligence, we usually meant models that could analyze information and make decisions based on it, like a judge who looks at evidence and gives a verdict. And that's what we call traditional AI that's focused on analysis, classification, and prediction.
But with generative AI, something remarkable happens. Generative AI does not just evaluate. It creates. It's more like a storyteller who uses knowledge from the past to imagine and build something brand new. For example, instead of just detecting if an email is spam, generative AI could write an entirely new email for you.
Another example, traditional AI might predict what a photo contains. Generative AI, on the other hand, creates a brand-new photo based on description. Generative AI refers to artificial intelligence models that can create entirely new content, such as text, images, music, code, or video that resembles human-made work.
Instead of simple analyzing or predicting, generative AI produces something original that resembles what a human might create.
Lois: How did traditional AI progress to the generative AI we know today?
Himanshu: First, we will look at small supervised learning. So in early days, AI models were trained on small labeled data sets. For example, we could train a model with a few thousand emails labeled spam or not spam. The model would learn simple decision boundaries. If email contains, "congratulations," it might be spam. This was efficient for a straightforward task, but it struggled with anything more complex.
Then, comes the large supervised learning. As the internet exploded, massive data sets became available, so millions of images, billions of text snippets, and models got better because they had much more data and stronger compute power and thanks to advances, like GPUs, and cloud computing, for example, training a model on millions of product reviews to predict customer sentiment, positive or negative, or to classify thousands of images in cars, dogs, planes, etc.
Models became more sophisticated, capturing deeper patterns rather than simple rules. And then, generative AI came into the picture, and we eventually reached a point where instead of just classifying or predicting, models could generate entirely new content.
Generative AI models like ChatGPT or GitHub Copilot are trained on enormous data sets, not to simply answer a yes or no, but to create outputs that look and feel like human made. Instead of judging the spam or sentiment, now the model can write an article, compose a song, or paint a picture, or generate new software code.
Nikita: Himanshu, what motivated this sort of progression?
Himanshu: Because of the three reasons. First one, data, we had way more of it thanks to the internet, smartphones, and social media. Second is compute. Graphics cards, GPUs, parallel computing, and cloud systems made it cheap and fast to train giant models.
And third, and most important is ambition. Humans always wanted machines not just to judge existing data, but to create new knowledge, art, and ideas.
Lois: So, what’s happening behind the scenes? How is gen AI making these things happen?
Himanshu: Generative AI is about creating entirely new things across different domains. On one side, we have large language models or LLMs.
They are masters of generating text conversations, stories, emails, and even code. And on the other side, we have diffusion models. They are the creative artists of AI, turning text prompts into detailed images, paintings, or even videos.
And these two together are like two different specialists. The LLM acts like a brain that understands and talks, and the diffusion model acts like an artist that paints based on the instructions. And when we connect these spaces together, we create something called multimodal AI, systems that can take in text and produce images, audio, or other media, opening a whole new range of possibilities.
It can not only take the text, but also deal in different media options. So today when we say ChatGPT or Gemini, they can generate images, and it's not just one model doing everything. These are specialized systems working together behind the scenes.
Lois: You mentioned large language models and how they power text-based gen AI, so let’s talk more about them. Himanshu, what is an LLM and how does it work?
Himanshu: So it's a probabilistic model of text, which means, it tries to predict what word is most likely to come next based on what came before.
This ability to predict one word at a time intelligently is what builds full sentences, paragraphs, and even stories.
Nikita: But what’s large about this? Why’s it called a large language model?
Himanshu: It simply means the model has lots and lots of parameters. And think of parameters as adjustable dials the model fine tuned during learning.
There is no strict rule, but today, large models can have billions or even trillions of these parameters. And the more the parameters, more complex patterns, the model can understand and can generate a language better, more like human.
Nikita: Ok… and image-based generative AI is powered by diffusion models, right? How do they work?
Himanshu: Diffusion models start with something that looks like pure random noise.
Imagine static on an old TV screen. No meaningful image at all. From there, the model carefully removes noise step by step to create something more meaningful and think of it like sculpting a statue. You start with a rough block of stone and slowly, carefully you chisel away to reveal a beautiful sculpture hidden inside.
And in each step of this process, the AI is making an educated guess based on everything it has learned from millions of real images. It's trying to predict.
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Nikita: Welcome back! Himanshu, for most of us, our experience with generative AI is with text-based tools like ChatGPT. But I’m sure the uses go far beyond that, right? Can you walk us through some of them?
Himanshu: First one is text generation. So we can talk about chatbots, which are now capable of handling nuanced customer queries in banking travel and retail, saving companies hours of support time. Think of a bank chatbot helping a customer understand mortgage options or virtual HR Assistant in a large company, handling leave request. You can have embedding models which powers smart search systems.
Instead of searching by keywords, businesses can now search by meaning. For instance, a legal firm can search cases about contract violations in tech and get semantically relevant results, even if those exact words are not used in the documents.
The third one, for example, code generation, tools like GitHub Copilot help developers write boilerplate or even functional code, accelerating software development, especially in routine or repetitive tasks. Imagine writing a waveform with just a few prompts.
The second application, is image generation. So first obvious use is art. So designers and marketers can generate creative concepts instantly. Say, you n