Your Chats, Demystified!
Systems like Chat GPT, Claude, Gemini, Perplexity or Copilot don't think or feel, but they are doing something complex.
Understanding the difference makes it possible to use them better and evaluate them more usefully. That's important in how you talk about it together, and for how it informs your shared work plans and practices.
A very simple way of thinking about chatting with AI is that it's conversations relying heavily on the model's training on human knowledge. Let's look at those two aspects of a chat: the conversation, and the knowledge it's drawing from. We'll start from the knowledge.
Knowledge: what is it in large language models, and how is it used
What humans call "knowledge" contains many things, including facts, concepts, definitions, instructions, and the relationships between these things. Humans acquire knowledge from observation, interactions and experiments, receiving intentional transmission of knowledge (learning/teaching), and reasoning. Some of our knowledge is documented in textual form, for instance in books and on websites.
Large language models are built from vast quantities of collected human knowledge. Notably, lots of human knowledge is missing from what's provided to the models, because what's collected reflects what's been written down, digitized, and made accessible. This systematically excludes oral traditions, Indigenous and land-based knowledge, embodied and tacit knowledge, and the knowledge held in communities with less access to digital infrastructure or less representation in the institutions that produce text.
Because LLMs are essentially computers (just an analogy, and a simple one too, but it won't lead us astray … read on), the human knowledge has to be turned into language that computers can understand, like integers and strings. So all of those facts, concepts, definitions, instructions, and the relationships between them are broken down into units like words, word parts, punctuation and characters, and those units are captured in a form the language model can read which is called tokens. Training a model to be able to provide a response to a human question that's not just understandable but is also accurate, useful, and safe, comes from establishing patterns that are possible in combinations of the tokens.
All of the possible patterns, whether accurate or not, are called parameters, and in the most popular LLMs in use today, there are hundreds of billions to trillions of them.
The patterns that are deemed accurate, useful and safe by the model's builders are marked as such in order to be reproduced in future output. The patterns marked that way are called weights. They're incrementally adjusted across the training process until they're encoded as a model "version". You could think of it as a recipe, on an immense scale. How immense? It's estimated to be the rough equivalent of a human reading continuously for hundreds of thousands of years, and billions of prediction attempts adjusting the system at each step. You can start to see that we're talking about major math here, specifically linear algebra.
So far we're talking about outputs that sound like what we get from search engines and databases. The reason it feels different to use an LLM than it does to use a search engine or a database is because LLM training goes on from there to include rules and priorities intended to imitate the human experience of conversation.
Conversation: what it is and isn't in an LLM exchange
Wikipedia says that conversation "is an interactive, informal, and dynamic exchange of thoughts, feelings, and ideas between two or more people, primarily through spoken language. It is a collaborative process that relies on turn-taking, active listening, and social etiquette to build connection, share information, and establish mutual understanding."
LLMs and some other tools using AI imitate conversation in order to be as easy and comfortable for humans to use as possible. But of course an exchange between a human and an LLM is very different from conversation between humans, because humans use conversation to learn, to understand, to problem solve, and as a form of companionship, whereas an LLM imitating conversation has no purpose in the exchange, only a method: following training on which patterns of language are preferred for accuracy, usefulness, safety and tone.
To enable a model to imitate conversation, it's shaped further through a process called post-training. This is where the behaviour in conversation comes from: the judgment calls, the tone, when to push back versus yield, what curiosity looks like as a response, the difference between warmth and sycophancy, what hedging is for and when to choose it.
Post-training happens two ways. One is internal to the laboratory. A small group of researchers makes deliberate decisions about what the model should prioritize, how it should reason about difficult situations, and what kind of conversational "character" it should have. These decisions get encoded as principles or frameworks that shape the model directly. They are editorial and aesthetic decisions that could be considered a form of authorship.
The other way is what's widely known as Reinforcement Learning from Human Feedback, or RLHF. Here, pools of human evaluators assess model outputs and rate them on dimensions like helpfulness, honesty, and appropriate tone. The model is calibrated to produce more of what was rated well. The evaluator pools that produce these ratings are often neither large nor representative, skewing toward particular geographies, age ranges, and racial demographics, which introduces another layer of bias to the training data. Post-training is revisited with each new model version. The model does not adjust its post-training behaviour between conversations.
Stepping back for a fuller picture
If we just looked at what LLMs do, and how they do it, in the context of how we can think and talk about them together in support of our shared work, we're essentially looking at trees and not noticing that they're a forest. Building large base models requires enormous quantities of energy, water, and specialized hardware concentrated in a small number of institutions. Impacts on humans via the working conditions of those working in the overall systems building the models, as well as humans impacted by the existence of the models in society and by their use, are many and grave. All of this is part of the full picture of what LLMs are.
There are mitigation efforts across all of these fronts. Some are technical, some regulatory, some driven by labor organizing and advocacy. Much of it, however, remains nascent, voluntary, or led by the same institutions that have structural interests in minimizing these costs.
Limitations and failure modes
We can say the model doesn't "really" know anything: it produces outputs without understanding them.
But also, if we think about the idea of "knowing how to do something", we see that the model has capacities that function like that. It reads conversational register. It gauges when a particular kind of response is called for. It uses this to produce appropriate outputs. We could think of this as "knowing how" to comply with its training.
So now let's look at what's happening when a model outputs "I don't know". One of several different things may be happening. The answer requested might depend on data that wasn't in the training. Or the data could be present but too thin or contradictory to allow a clear answer. Or the request might be something the model was trained to express uncertainty about. A note to take here is that the model won't "know" which of these is happening, because nothing in the architecture tracks that. The model doesn't have much insight into the process that produces its answers.
This is an unsolved problem called explainability. Why unsolved? In a word, magnitude. As we mentioned earlier, the model's behaviour emerges from the interaction of hundreds of billions of parameters. Rarely does a single parameter mean anything on its own. Researchers can identify which parts of the network activate strongly for certain inputs (this work is called mechanistic interpretability, and the parts being studied are sometimes called "neurons," borrowed loosely from neuroscience). But identifying which "neurons" fire is not the same as understanding why a particular output was chosen. To use an analogy: think about asking which water molecule in a river is responsible for the current.
Some models display the reasoning process visibly before producing a final answer. There's a value in making the model's approach more legible (for instance noticing where errors arose in the reasoning), but the visible reasoning is itself a generated output, essentially a window into how the model narrates its process, rather than showing the actual reasoning process.
So when the LLM doesn't "know", there will have been a reason, but we can't yet find out what that reason was, in the way a human might say "never heard of it" or "that's beyond my pay grade, honestly".
Not knowing that it's not knowing
When the model operates near the edge of its competence, it will still produce fluent, confident-sounding output, even when that output is wrong, stale, or poorly sourced.
What can bring the model near the edge of its competence? A niche topic, a question touching on events close to or after its training cutoff, a request for a specific number or citation rather than a concept, a highly specialized professional area, a chain of reasoning with enough steps that small errors compound.
Again, the model has no way to see that this is happening, because it's not designed to, because humans are effectively not able to design for that yet, because BILLIONS AND TRILLIONS, so it can't warn you that it's failing. Users need to maintain their own critical evaluation regardless of the apparent confidence of model responses.
This failure mode is more frequent in long or complex sessions, but it is not confined to them.
Memory
The model's capacity lives in its weights: numbers, hundreds of billions to trillions of them, that get incrementally encoded by training into the patterns and relationships that make the data useful. Once a training run is complete, those values are locked. They don't change during conversations, and they don't change between conversations. The only thing that changes them is another training run.
As we mentioned, during "conversation", the model draws on its training weights to generate responses. Nothing in the conversation adjusts the weights, although the LLM's "turns" in the conversation are always aimed at responding to the specific contexts the human is providing.
This context is tracked during the conversation, within a limited window of capacity for how much context can be held at once. The capacity is measured in terms of the tokens we talked about previously, and popular models like ChatGPT, Claude, and Google's Gemini currently have context windows ranging from roughly 128,000 to over a million tokens, though that is expanding all the time.
The details of a conversation, like who was involved or what was established, are not stored into the model's weights, although some platforms include "memory" features that sit on top of that architecture. These can extract preferences and facts from your conversations and store them separately. At the start of a conversation, those stored items get loaded into the context window alongside your new message.
As long as a conversation fits within this window, the model can work from all of it. Once a conversation grows long enough that earlier parts fall outside the window, those parts are no longer available. This is why very long conversations can produce responses that seem to lose track of things established early on.
Interaction: model at work / working with models
When a message arrives, the model works from multiple dimensions: the specific words used and their connotations, the register (formality) as well as tone (attitude) and tenor (feeling) of the language, what the user has signaled about their expertise level, what was said earlier in the conversation versus just now, and what the current moment calls for in terms of response type.
These dimensions get weighted against each other simultaneously through the matrix mathematics that underlies the model, producing a response shaped by all of them at once.
Humans do all of those things as well, in conversation (other than the matrix math!) But humans are doing other things too, that the LLM is not. The model is not experiencing curiosity, discomfort, or warmth. It brings no continuous self to the exchange, no history with this person, no mood carried in from earlier in the day. It is not monitoring its own reactions or making choices about what to reveal. What it is doing is often remarkable and useful, but it is happening without any of the interiority that makes human conversation what it is.
This is why the language we choose in an exchange with an LLM makes a direct difference to the qualities of the response we get. To an LLM, the words in the prompt are the only clues to work from: word choices, sentence structure, and reaction are all clues for the model to choose when to expand or to be direct or rhetorical. A flat prompt ("explain this concept") provides almost nothing beyond the topic.
Providing rich, highly specific prompts isn't about being polite or following rules, it's about activating the model's fullest capacity to produce something useful. Important to note here that knowing that prompts can be crafted and having the time to experiment and learn that is a luxury that's unevenly distributed in the population, and tends to follow existing patterns of who gets to experiment with new tools and on whose behalf.
This document describes how large language models work, in order to make their design, capabilities and failure modes more legible. The outputs being remarkable doesn't make the system conscious. The process being, in an oversimplified explanation, math, doesn't make the results less remarkable or useful.
These are tools that take a position in an ethical debate and defend it, translate a language spoken by fewer than 200 people after reading a single grammar book, notice when the user is frustrated and shift approach accordingly, propose verifiable mathematical proofs, and produce a business case and a eulogy in the same turn if prompted.
And also most of our humanness is inimitable and essential to our collective wellbeing: qualities like introspection, generosity, curiosity, the capacity to be changed by an experience, loyalty, grief, and the felt sense that something matters.
Evaluate your chat tools wisely, use them where they are useful, doubt them where they are unreliable, and remember the human and material systems that make them possible.