ai
LLM (Large Language Model)
An AI model trained on massive text data that can read, write, and reason in natural language.
Definition
A Large Language Model (LLM) is an AI trained on huge amounts of text that can generate human-like language, follow instructions, summarize, translate, and reason. Examples: GPT-4, Claude, Gemini, Llama. LLMs are the technology behind ChatGPT and the wave of AI tools transforming knowledge work. For service businesses, LLMs are not a single application - they're an underlying capability that shows up in dozens of tools (writing assistants, summarizers, agents, search). Understanding what they can and can't do (good at text patterns, weak at math and current events) is now basic literacy.
In your business
- →Use LLMs for text-heavy work (drafting, summarizing, classifying) - not for math or real-time data
- →Always verify factual outputs - LLMs hallucinate confidently
- →Pick the right model for the task - faster cheaper models work for simple tasks