AI & Digital Skills

AI buzzword dictionary

The AI words you keep hearing, explained without jargon. Each entry gives a short definition, what it really means, an everyday example and anything to be careful about.

Artificial intelligence (AI)
Computer systems that perform tasks we normally associate with human thinking, such as recognising speech, sorting images or writing text.
Generative AI
AI that creates new content — text, images, audio, video or code — in response to an instruction.
Large language model (LLM)
A type of AI trained on huge amounts of text to predict and generate language.
Prompt
The instruction or question you give an AI tool.
Token
A small chunk of text — often part of a word — that language models read and write.
Context window
The maximum amount of text a model can take into account at one time.
Hallucination
When an AI confidently produces information that is false or made up.
AI agent
An AI system that can take a series of actions towards a goal, not just answer a single question.
RAG (retrieval-augmented generation)
A method where an AI first looks up relevant documents, then uses them to write its answer.
API (application programming interface)
A defined way for one piece of software to request data or actions from another.
Machine learning
A way of building AI where a computer learns patterns from examples rather than following hand-written rules.
Multimodal AI
AI that can work with more than one type of input or output, such as text, images, audio and video.
Training data
The examples used to teach an AI model — text, images, recordings or records.
Deepfake
Realistic fake video, audio or images of real people, made with AI.

Last reviewed: 25 September 2026