Technology

Gen AI

Gen AI creates new content (text, images, code) using foundation models: it generates, not just classifies.

Generative AI (Gen AI) is a subset of artificial intelligence focused on producing novel, high-quality output based on learned patterns. This is a critical distinction: it moves beyond traditional AI's classification or prediction tasks. The technology is powered by large-scale foundation models (FMs), often utilizing the transformer architecture, trained on massive datasets. Key examples include OpenAI's GPT-4 for text and code generation, and models like DALL-E for image synthesis. Enterprises leverage Gen AI to automate content creation, accelerate drug discovery, and enhance customer service via human-like conversational agents, driving significant productivity gains (McKinsey projects $2.6 to $4.4 trillion in value across industries).