In short
Plain-English definitions of the AI and AI-search terms you will actually meet, each in one sentence, with a longer explanation and an example. No maths, no jargon used to define other jargon. Written for people who work in marketing rather than for engineers.
Artificial intelligence (AI)
Software that performs tasks we associate with human intelligence, such as recognising images, understanding language or making predictions.
A very broad umbrella. A spam filter is AI. So is a self-driving car. When most people say "AI" today they mean one narrow corner of it: generative AI, and usually a chat assistant.
For example: Netflix recommendations, face unlock and ChatGPT are all AI, and they work in completely different ways.
Generative AI
AI that produces new material - text, images, audio, video or code - rather than only sorting or classifying existing material.
The distinction is creation versus categorisation. An older system looked at an email and decided "spam or not spam". A generative system writes the email.
For example: ChatGPT writing a reply is generative. Your bank flagging a transaction as fraud is not.
Large language model (LLM)
A system trained on an enormous amount of text that produces answers by repeatedly predicting the next piece of text.
This is the engine behind ChatGPT, Claude and Gemini. It is not searching a database of answers. It is generating one, piece by piece, from patterns it learned during training. That single fact explains why it can be fluent and wrong at the same time.
For example: Ask for a book recommendation and it produces a plausible-sounding title, which may or may not be a real book.
Prompt
Everything you send to an AI system in one turn: your question, plus any context, examples, files or instructions you include with it.
Most people think a prompt is the question. It is really the whole briefing. The quality of what comes back tracks the quality of the briefing far more than it tracks the tool.
For example: "Write a headline" is a prompt. So is a page of background, three sample headlines and a word limit - and it produces a far better result.
Prompt engineering
The practice of writing instructions that reliably get the result you want from an AI model.
Less mystical than the name suggests. It is mostly specificity: say who the model should be, what the situation is, what good looks like, and what to avoid. The grander-sounding version of the same skill is context engineering, which means supplying the background rather than just the instruction.
For example: "Write a headline" versus "You are a B2B copywriter. Audience: finance directors. Write six headlines under nine words, no puns."
Token
The unit an AI model reads and writes in - roughly three quarters of a word in English.
Models do not see letters or words. Text is chopped into tokens, and both usage limits and pricing are measured in them. It is the reason a model can miscount the letters in a word.
For example: "unbelievable" might be three tokens. A 750-word article is roughly 1,000 tokens.
Context window
The maximum amount of text a model can hold in mind at once, covering your conversation, your files and its own replies.
Think of it as desk space rather than memory. When a long conversation exceeds it, the earliest part falls off the desk, which is why a model can forget what you said an hour ago while remembering the last message perfectly.
For example: Paste a 200-page report into a small context window and it will silently work from only part of it.
Hallucination
When an AI system states something false with complete confidence, usually because a plausible-sounding answer is all it was ever producing.
Not a bug in the usual sense, and not lying. The system predicts likely text; likely text is usually true, and sometimes is not. Confidence in the wording tells you nothing about accuracy, which is the trap.
For example: Invented statistics, non-existent citations and confidently wrong dates are the classic three.
Knowledge cutoff
The date after which a model saw no training data, so it knows nothing about later events unless it looks them up.
A model without web access is frozen at its cutoff. Many now search the web to fill the gap, which is a different mechanism with different failure modes.
For example: Ask about a product launched last month and an offline model will either say it does not know, or invent something.
Memory
A feature that lets an assistant carry facts about you between separate conversations, rather than starting blank each time.
Distinct from the context window, which only covers the current conversation. Memory is persistent and worth reviewing occasionally, because a wrong fact it stored quietly shapes every later answer.
For example: It remembers you work in SEO and stops explaining what a SERP is.
Reasoning model
A model that spends longer working through a problem step by step before answering, at the cost of speed.
Useful when a person would need to think rather than recall: trade-offs, multi-step calculations, ambiguous decisions. Wasteful for a quick rewrite.
For example: Comparing two job offers across salary, equity and location is a reasoning task. Fixing a typo is not.
Grounding
Tying an AI answer to a specific source - a web page, an uploaded file or a database - instead of relying on what the model absorbed in training.
A grounded answer can be checked, because it points at where it came from. This is what separates an AI search tool from a chat assistant working from memory.
For example: Perplexity citing four sources is grounded. A model recalling a fact from training is not.
AI Overviews
Google's AI-written summaries that appear above the normal search results, with links to a handful of sources.
They answer the query on the results page, so fewer people click through. For publishers this is the central problem of the last two years: the same visibility produces less traffic.
For example: Search a how-to question and the boxed answer at the top, before the blue links, is an AI Overview.
GEO (generative engine optimisation)
The practice of making a website more likely to be quoted inside AI-generated answers, rather than only ranked in a list of links.
Overlapping with SEO but not identical. Ranking wins a position; being cited wins a mention inside the answer. The work is clear structure, verifiable claims and something worth quoting.
For example: Rewriting a page so its answer sits in the first sixty words is a GEO change.
Read the full page →AEO (answer engine optimisation)
Optimising to be the answer to a question rather than a result for a keyword. In practice, near-identical to GEO.
The industry has not settled on one label. GEO, AEO and LLMO describe substantially the same work. Do not spend energy on the distinction; anyone selling it as three services is selling you one.
For example: Structuring a page around real questions people ask, with each answered directly beneath its heading.
AI citation
A reference to your page inside an AI-generated answer, usually shown as a link or a numbered source.
The AI-era equivalent of a ranking, and it behaves differently: citations are not stable, the same question can produce different sources each time, and being cited does not guarantee a click.
For example: Asked about a topic, an assistant answers and lists five sources. Being one of them is an AI citation.
AI crawler
A bot operated by an AI company that fetches web pages, either to train models or to answer a question being asked right now.
GPTBot, ClaudeBot and PerplexityBot are the ones you will see in your logs. They are separate from Googlebot with separate rules, so allowing Google does not allow them.
For example: Blocking GPTBot in robots.txt does nothing to Googlebot, and vice versa.
Read the full page →llms.txt
A markdown file at the root of a website that lists its most important pages, proposed in 2024 as a way for AI systems to find them quickly.
Cheap to write and harmless. No major AI company has confirmed reading it, so treat it as documentation rather than a visibility tactic.
For example: yoursite.com/llms.txt, listing twenty pages with a sentence each.
Read the full page →Zero-click search
A search where the person gets their answer on the results page and never visits a website.
It predates AI - weather, definitions and sports scores were always zero-click - but AI answers extend it to far more queries, including ones that used to send real traffic.
For example: Asking a factual question, reading the answer at the top, and closing the tab.
API
A way for one piece of software to use another directly, without a person clicking anything.
The chat window is the human door into a model; the API is the door for other software. It is how an AI feature gets built into an app, and it is billed per token rather than by monthly subscription.
For example: A helpdesk that drafts replies automatically is calling a model through an API.
RAG (retrieval augmented generation)
Fetching relevant documents first, then asking the model to answer using only those documents.
The standard way to make an assistant that knows your business. The model supplies the language; your documents supply the facts. It reduces invention without eliminating it.
For example: An internal assistant that answers HR questions by retrieving the actual policy document first.
MCP (Model Context Protocol)
An open standard that lets an AI assistant connect to external tools and data sources through one common interface.
Before it, every tool needed its own bespoke integration. MCP is the shared plug: build a connector once and any assistant that speaks the protocol can use it.
For example: Connecting an assistant to your analytics, calendar and files without three separate custom builds.
AI agent
An AI system given a goal that can take multiple steps and use tools on its own, rather than answering one question at a time.
The difference is doing versus answering. An assistant tells you how to do something; an agent attempts it, checks the result and tries again. The word is heavily oversold, and most things marketed as agents are automations with a model inside.
For example: "Research these ten companies and put the results in a spreadsheet", carried out end to end.