What Is Generative AI?
Generative AI refers to artificial intelligence systems that create new content — such as text, images, audio, video, or code — based on patterns learned from training data. Chatbots that write answers and tools that create images from text descriptions are common examples of generative AI.
How It Works
Generative models learn the statistical patterns of their training data. Text models typically predict the next token, while many image models use diffusion, gradually turning random noise into a picture that matches a prompt.
Generative vs. Predictive AI
Predictive AI classifies or forecasts (for example, flagging spam); generative AI produces new output. Many products combine both.
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Last updated: September 29, 2026. This definition is for general educational purposes only. It is not financial, investment, tax, legal, or medical advice, and it does not recommend any product or course of action. For decisions about your own situation, consult a qualified professional.