AI glossary · AI basics
Predictive AI
Predictive AI uses patterns in past data to forecast what is likely to happen next, such as which customers might cancel or what a house will sell for.
In more detail
Predictive AI has been used for decades in banking, retail and healthcare. It usually answers a narrow question with a number or a label, using techniques like classification and regression.
It differs from generative AI, which creates new content. Many products combine the two.
Example
A bank’s system flags a card payment as likely fraud because it doesn’t match your usual spending pattern.
Related terms
Generative AI (GenAI)Generative AI is AI that creates new content, such as text, images, music, video or code, from a description you give it.ClassificationClassification is a machine learning task where the model sorts things into categories, such as “spam” or “not spam”, or which animal is in a photo.RegressionRegression is a machine learning task where the model predicts a number, such as a house price, tomorrow’s temperature or next month’s sales.Machine learning (ML)Machine learning (ML) is a way of building AI where computers learn patterns from examples, instead of being given step-by-step rules.
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