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Large Language Models
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ARTICLE #62
Understanding Large Language Models: How do they work
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Large Language Models
AI Models
Machine Learning
Artificial Intelligence
GPT
Large Language Models
AI Models
Machine Learning
Artificial Intelligence
GPT
Written by:
7 min read
Updated on: July 19, 2024
Toni Hukkanen
Head of Design
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Creative Direction, Brand Direction
Toni Hukkanen
Head of Design
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Creative Direction, Brand Direction
Conversations with friends flow best when you swap ideas like trading favourite tunes—relaxed, real, and a little playful. Large Language Models (LLMs) operate in a surprisingly similar way, though they rely on massive datasets instead of personal experience. These AI tools digest text-based information and then generate fresh responses based on the questions we throw at them. The result? A rapidly advancing field of artificial intelligence with countless practical uses.
LLMs give us advanced text generation that feels human-like, as seen with models such as GPT and BERT. Their rising popularity stems from how effectively they assist in tasks like writing, coding, or even analysing data.
Below, we’ll break down everything from how these models work to where they’re headed.
Conversations with friends flow best when you swap ideas like trading favourite tunes—relaxed, real, and a little playful. Large Language Models (LLMs) operate in a surprisingly similar way, though they rely on massive datasets instead of personal experience. These AI tools digest text-based information and then generate fresh responses based on the questions we throw at them. The result? A rapidly advancing field of artificial intelligence with countless practical uses.
LLMs give us advanced text generation that feels human-like, as seen with models such as GPT and BERT. Their rising popularity stems from how effectively they assist in tasks like writing, coding, or even analysing data.
Below, we’ll break down everything from how these models work to where they’re headed.
How do these Large Language Models work?
How do these Large Language Models work?
Large Language Models (LLMs) are vast neural networks—similar to a giant web of artificial “brain cells”—that learn the rules and nuances of language by crunching huge amounts of text. It’s a bit like an encyclopedic sponge that soaks up patterns, relationships, and context so it can spit out coherent (and sometimes eerily human-like) responses.
One common design is the Transformer architecture, first introduced by Google in 2017. Transformers do an excellent job interpreting questions (via their network nodes) and producing straightforward answers, making them a top choice for language-related tasks. Of course, these models don’t just appear out of nowhere—they go through extensive training, usually in two phases:
Unsupervised training: In the beginning, LLMs learn from large collections of text data without explicit instructions. They pick up grammar, context, and even nuances on their own, simply by processing billions (sometimes trillions) of words.
Supervised fine-tuning: After this initial stage, developers refine LLMs with labelled data. Think of it like a crash course in specialised tasks—translation, sentiment analysis, or something else—so the model adapts to particular fields or scenarios more accurately.
Main components of LLM functionality
Once an LLM has been trained on a huge dataset, it undergoes several processes to produce human-like text. Here’s a brief overview of the main elements.
Transformers
Modern LLMs run primarily on transformers. They rely on a mechanism called self-attention, which helps the model assign the right level of importance to each word in a sentence. This approach boosts both text understanding and generation quality.
Attention mechanisms and training data volume
Attention mechanisms allow LLMs to stay focused on context across lengthy bits of text. These models also need enormous amounts of diverse, high-quality data to perform effectively. Many cutting-edge models in 2023 have been trained on hundreds of billions of words.
Model size
Over time, LLMs have grown in scale. GPT-3, for instance, has 175 billion parameters, while Google’s PaLM boasts 540 billion. In general, larger models tend to deliver stronger results across different language tasks. This kind of expansion underscores how complex LLMs really are—and why they’re so effective at tasks that demand a deep grasp of language.
Large Language Models (LLMs) are vast neural networks—similar to a giant web of artificial “brain cells”—that learn the rules and nuances of language by crunching huge amounts of text. It’s a bit like an encyclopedic sponge that soaks up patterns, relationships, and context so it can spit out coherent (and sometimes eerily human-like) responses.
One common design is the Transformer architecture, first introduced by Google in 2017. Transformers do an excellent job interpreting questions (via their network nodes) and producing straightforward answers, making them a top choice for language-related tasks. Of course, these models don’t just appear out of nowhere—they go through extensive training, usually in two phases:
Unsupervised training: In the beginning, LLMs learn from large collections of text data without explicit instructions. They pick up grammar, context, and even nuances on their own, simply by processing billions (sometimes trillions) of words.
Supervised fine-tuning: After this initial stage, developers refine LLMs with labelled data. Think of it like a crash course in specialised tasks—translation, sentiment analysis, or something else—so the model adapts to particular fields or scenarios more accurately.
Main components of LLM functionality
Once an LLM has been trained on a huge dataset, it undergoes several processes to produce human-like text. Here’s a brief overview of the main elements.
Transformers
Modern LLMs run primarily on transformers. They rely on a mechanism called self-attention, which helps the model assign the right level of importance to each word in a sentence. This approach boosts both text understanding and generation quality.
Attention mechanisms and training data volume
Attention mechanisms allow LLMs to stay focused on context across lengthy bits of text. These models also need enormous amounts of diverse, high-quality data to perform effectively. Many cutting-edge models in 2023 have been trained on hundreds of billions of words.
Model size
Over time, LLMs have grown in scale. GPT-3, for instance, has 175 billion parameters, while Google’s PaLM boasts 540 billion. In general, larger models tend to deliver stronger results across different language tasks. This kind of expansion underscores how complex LLMs really are—and why they’re so effective at tasks that demand a deep grasp of language.
Leading Language Models
Several prominent LLMs stand out for their remarkable performance. Below are a few of the most widely known and what makes them unique.
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1. GPT (Generative Pre-trained Transformer) Series
The GPT family from OpenAI is kind of like the Beyoncé of AI text generators—hugely popular and always in the spotlight. GPT-3, launched in 2020, packed an impressive 175 billion parameters, powering tasks such as writing, translation, and question-answering right from the get-go.
The newest version, GPT-4 arrived in March 2023. Its exact size is a mystery (OpenAI is cagey like that), but tests show it’s a serious upgrade handling all sorts of text tasks and even images
2. BERT (Bidirectional Encoder Representations from Transformers)
BERT, created by Google, gobbles up context from both left and right sides of a sentence—so it really “gets” the meaning behind words. It’s a champion for tasks like sentiment analysis or firing off quick, accurate answers. Its family includes RoBERTa, ALBERT, and DistilBERT, each tuned for different goals like speed and efficiency.
3. T5 (Text-to-text transfer transformer)
Released by Google in 2019, T5 views all Natural Language Processing (NLP) tasks as text-to-text exercises. In other words, it translates every job—classification, summarisation, or even question answering—into a format where both the input and output are text. This makes T5 versatile for a range of applications.
4. PaLM
One of Google’s more recent models is the Pathways Language Model (PaLM), sporting over 540 billion parameters. It’s known for strong few-shot learning, meaning it can tackle new tasks with just a handful of examples.
5. LaMDA
LaMDA is another Google creation that concentrates on open-ended dialogue. It’s built to maintain a natural flow of conversation while also supplying factual information—Its ideal for chatbots and conversational tools.
6. BLOOM
BLOOM is a 176-billion-parameter model developed by Hugging Face and various partners. It supports 46 languages plus 13 programming languages, aiming to offer more inclusive text capabilities across cultural and technical boundaries.
Several prominent LLMs stand out for their remarkable performance. Below are a few of the most widely known and what makes them unique.
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1. GPT (Generative Pre-trained Transformer) Series
The GPT family from OpenAI is kind of like the Beyoncé of AI text generators—hugely popular and always in the spotlight. GPT-3, launched in 2020, packed an impressive 175 billion parameters, powering tasks such as writing, translation, and question-answering right from the get-go.
The newest version, GPT-4 arrived in March 2023. Its exact size is a mystery (OpenAI is cagey like that), but tests show it’s a serious upgrade handling all sorts of text tasks and even images
2. BERT (Bidirectional Encoder Representations from Transformers)
BERT, created by Google, gobbles up context from both left and right sides of a sentence—so it really “gets” the meaning behind words. It’s a champion for tasks like sentiment analysis or firing off quick, accurate answers. Its family includes RoBERTa, ALBERT, and DistilBERT, each tuned for different goals like speed and efficiency.
3. T5 (Text-to-text transfer transformer)
Released by Google in 2019, T5 views all Natural Language Processing (NLP) tasks as text-to-text exercises. In other words, it translates every job—classification, summarisation, or even question answering—into a format where both the input and output are text. This makes T5 versatile for a range of applications.
4. PaLM
One of Google’s more recent models is the Pathways Language Model (PaLM), sporting over 540 billion parameters. It’s known for strong few-shot learning, meaning it can tackle new tasks with just a handful of examples.
5. LaMDA
LaMDA is another Google creation that concentrates on open-ended dialogue. It’s built to maintain a natural flow of conversation while also supplying factual information—Its ideal for chatbots and conversational tools.
6. BLOOM
BLOOM is a 176-billion-parameter model developed by Hugging Face and various partners. It supports 46 languages plus 13 programming languages, aiming to offer more inclusive text capabilities across cultural and technical boundaries.
Benefits of Large Language Models
LLMs benefit a variety of industries because they can read and produce human-like text efficiently. Here are some key advantages that illustrate how they’re shifting the landscape of tech and business.
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1. Natural Language Processing (NLP) advancements
LLMs have sharpened machines’ ability to grasp context and subtleties in human language. GPT-3, for example, achieves near-human results in reading comprehension challenges. It can also generate text of up to around 4,000 words per minute, typically with logical flow and coherence.
Meanwhile, models such as Google’s PaLM support over 100 languages, improving cross-cultural communication and machine translation. Put simply, LLMs can interpret grammar, idioms, and even implied meanings at a level that previous AI models struggled to reach.
2. Transfer learning and few-shot learning
These models are also adept at applying knowledge from one area to another, requiring minimal extra training. That flexibility shines through in few-shot learning: GPT-3 can sometimes reach 90% accuracy on unfamiliar tasks after seeing just 10–15 relevant examples. Because LLMs use a single architecture for multiple tasks, organisations can skip juggling separate specialised models for every different need.
As a result, LLMs have a visible impact on various sectors, from writing product descriptions to interpreting legal documents.
3. Technology and software development
In tech, LLMs have significantly boosted software development workflows. One example is GitHub Copilot, powered by OpenAI’s Codex, which helps developers produce code faster and identify likely bugs. Quality assurance teams can also draft test cases or spot potential errors much sooner, thanks to AI support.
4. Healthcare and medical research
Healthcare stands to gain a lot from LLMs, especially in research and diagnostics. A study in Nature Digital Medicine found that an LLM-based system could review 1.5 million research papers in under 24 hours—an impossible task for humans on a similar timescale. Such speed aids medical professionals in forming quicker diagnoses and treatment plans, as the models are capable of sifting through patient data and medical histories efficiently.
5. Education and E-learning
Schools and universities are incorporating LLMs into digital learning platforms. AI-powered tutoring systems can tailor lessons to each student’s strengths, while educators can generate lesson plans, quizzes, and study materials more quickly. The outcome is a more personalised and resource-rich environment for learners.
6. Marketing and advertising
Advertising teams benefit from LLMs for swift content generation, including social media posts and product descriptions. These models can also comb through online conversations to gauge consumer sentiment. Marketers can then refine their strategies based on real-time feedback.
7. Finance and legal departments
Banks and investment firms often rely on LLMs to assess market data. According to JPMorgan Chase in 2022, an AI system leveraging LLM technology saved 360,000 hours of manual contract analysis work. Legal professionals also use such tools to sift through volumes of case law or regulations, cutting the time spent on research and giving them more space for strategic thinking.
LLMs benefit a variety of industries because they can read and produce human-like text efficiently. Here are some key advantages that illustrate how they’re shifting the landscape of tech and business.

1. Natural Language Processing (NLP) advancements
LLMs have sharpened machines’ ability to grasp context and subtleties in human language. GPT-3, for example, achieves near-human results in reading comprehension challenges. It can also generate text of up to around 4,000 words per minute, typically with logical flow and coherence.
Meanwhile, models such as Google’s PaLM support over 100 languages, improving cross-cultural communication and machine translation. Put simply, LLMs can interpret grammar, idioms, and even implied meanings at a level that previous AI models struggled to reach.
2. Transfer learning and few-shot learning
These models are also adept at applying knowledge from one area to another, requiring minimal extra training. That flexibility shines through in few-shot learning: GPT-3 can sometimes reach 90% accuracy on unfamiliar tasks after seeing just 10–15 relevant examples. Because LLMs use a single architecture for multiple tasks, organisations can skip juggling separate specialised models for every different need.
As a result, LLMs have a visible impact on various sectors, from writing product descriptions to interpreting legal documents.
3. Technology and software development
In tech, LLMs have significantly boosted software development workflows. One example is GitHub Copilot, powered by OpenAI’s Codex, which helps developers produce code faster and identify likely bugs. Quality assurance teams can also draft test cases or spot potential errors much sooner, thanks to AI support.
4. Healthcare and medical research
Healthcare stands to gain a lot from LLMs, especially in research and diagnostics. A study in Nature Digital Medicine found that an LLM-based system could review 1.5 million research papers in under 24 hours—an impossible task for humans on a similar timescale. Such speed aids medical professionals in forming quicker diagnoses and treatment plans, as the models are capable of sifting through patient data and medical histories efficiently.
5. Education and E-learning
Schools and universities are incorporating LLMs into digital learning platforms. AI-powered tutoring systems can tailor lessons to each student’s strengths, while educators can generate lesson plans, quizzes, and study materials more quickly. The outcome is a more personalised and resource-rich environment for learners.
6. Marketing and advertising
Advertising teams benefit from LLMs for swift content generation, including social media posts and product descriptions. These models can also comb through online conversations to gauge consumer sentiment. Marketers can then refine their strategies based on real-time feedback.
7. Finance and legal departments
Banks and investment firms often rely on LLMs to assess market data. According to JPMorgan Chase in 2022, an AI system leveraging LLM technology saved 360,000 hours of manual contract analysis work. Legal professionals also use such tools to sift through volumes of case law or regulations, cutting the time spent on research and giving them more space for strategic thinking.
Applications of Large Language Models
From content creation to coding support, LLMs excel at a wide range of text-based tasks. Here are some areas where their impact is particularly noticeable.
1. Content creation and copywriting
LLMs can produce high-quality writing for blog posts, product descriptions, or marketing copy on a large scale. According to Gartner (2023), 30% of mass outbound marketing messages from big corporations could be generated by AI by 2025. This cuts down on time-intensive writing and allows teams to focus on editing and fine-tuning.
2. Chatbots and virtual assistants
Advanced LLMs power the latest generation of chatbots and virtual assistants. They not only manage complex or layered questions but also adapt to user feedback. The result is more relevant and contextually aware responses, which enhances the overall user experience.
3. Language translation and sentiment analysis
Large Language Models deliver sharper machine translation compared to older methods, successfully handling slang or tricky phrases. Google Translate, employing LLM tech, serves over 500 million people daily, translating more than 140 billion words.
On top of that, LLMs can detect emotional cues in text. This helps companies keep tabs on how their brand is perceived, resolve customer complaints quickly, and run more precise market research.
4. Code generation, debugging and summarization
Because LLMs also grasp programming languages, they can write code snippets, spot bugs, and offer suggestions for improvements. GitHub Copilot, for example, accelerates the coding process for developers. These models are equally handy for summarising large documents—from research papers to corporate reports—allowing professionals to focus on the main points rather than drowning in details.
From content creation to coding support, LLMs excel at a wide range of text-based tasks. Here are some areas where their impact is particularly noticeable.
1. Content creation and copywriting
LLMs can produce high-quality writing for blog posts, product descriptions, or marketing copy on a large scale. According to Gartner (2023), 30% of mass outbound marketing messages from big corporations could be generated by AI by 2025. This cuts down on time-intensive writing and allows teams to focus on editing and fine-tuning.
2. Chatbots and virtual assistants
Advanced LLMs power the latest generation of chatbots and virtual assistants. They not only manage complex or layered questions but also adapt to user feedback. The result is more relevant and contextually aware responses, which enhances the overall user experience.
3. Language translation and sentiment analysis
Large Language Models deliver sharper machine translation compared to older methods, successfully handling slang or tricky phrases. Google Translate, employing LLM tech, serves over 500 million people daily, translating more than 140 billion words.
On top of that, LLMs can detect emotional cues in text. This helps companies keep tabs on how their brand is perceived, resolve customer complaints quickly, and run more precise market research.
4. Code generation, debugging and summarization
Because LLMs also grasp programming languages, they can write code snippets, spot bugs, and offer suggestions for improvements. GitHub Copilot, for example, accelerates the coding process for developers. These models are equally handy for summarising large documents—from research papers to corporate reports—allowing professionals to focus on the main points rather than drowning in details.
Future predictions for Large Language Models
Despite certain open questions and practical constraints, LLMs continue to advance. Below are a few paths researchers and developers seem most interested in:
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Multimodal models: Expect to see LLMs that handle data like images, audio, or video in addition to text. This opens the door to more interactive and versatile AI systems.
Efficiency gains: Ongoing work aims to create LLMs that consume fewer resources. Techniques like model compression or specialised hardware could make them faster and more energy-friendly.
Customised models: Future approaches may refine LLMs for precise tasks—say, medical diagnoses or legal analysis. Enhanced fine-tuning methods will let users tweak general models for unique objectives with less effort.
Despite certain open questions and practical constraints, LLMs continue to advance. Below are a few paths researchers and developers seem most interested in:

Multimodal models: Expect to see LLMs that handle data like images, audio, or video in addition to text. This opens the door to more interactive and versatile AI systems.
Efficiency gains: Ongoing work aims to create LLMs that consume fewer resources. Techniques like model compression or specialised hardware could make them faster and more energy-friendly.
Customised models: Future approaches may refine LLMs for precise tasks—say, medical diagnoses or legal analysis. Enhanced fine-tuning methods will let users tweak general models for unique objectives with less effort.
Frequently Asked Questions
What’s the deal with Large Language Model on privacy and data security?
It’s complicated. LLMs typically train on massive datasets that may contain sensitive info. Any organization using them must be vigilant about handling personal data and adhering to privacy laws. If you’re typing your life story into a chatbot, keep in mind that your words are feeding the AI engine. In short, proceed with caution when sharing personal details.
Can human writers or translators be replaced by Large Language Models?
While LLMs can write and translate quite effectively, they’re not a replacement for human creativity or cultural understanding. Think of them more like powerful assistants who can generate content or do quick translations. Humans still contribute the spark of originality and deep contextual awareness that machines haven’t mastered.
How to fix biases in Large Language Models?
This is an ongoing issue. LLMs can inadvertently pick up biases from the text they’re trained on. Researchers tackle this by diversifying training data and introducing bias reduction techniques. It’s not a complete fix, but it’s a step towards more balanced AI.
Conclusion
Large Language Models mark a major leap forward in artificial intelligence. By handling text in a distinctly human manner, they’ve reshaped many industries, saved countless hours of labour, and unlocked fresh ways to explore information. Whether it’s GPT, BERT, or T5, each model carries strengths that speak to language understanding on a sophisticated level. Challenges remain—chief among them ethics, data privacy, and potential bias—but the track record so far suggests progress will continue at a lively pace. As LLMs evolve, our interactions with technology look set to become more intuitive, efficient, and genuinely helpful than ever before.
Frequently Asked Questions
What’s the deal with Large Language Model on privacy and data security?
It’s complicated. LLMs typically train on massive datasets that may contain sensitive info. Any organization using them must be vigilant about handling personal data and adhering to privacy laws. If you’re typing your life story into a chatbot, keep in mind that your words are feeding the AI engine. In short, proceed with caution when sharing personal details.
Can human writers or translators be replaced by Large Language Models?
While LLMs can write and translate quite effectively, they’re not a replacement for human creativity or cultural understanding. Think of them more like powerful assistants who can generate content or do quick translations. Humans still contribute the spark of originality and deep contextual awareness that machines haven’t mastered.
How to fix biases in Large Language Models?
This is an ongoing issue. LLMs can inadvertently pick up biases from the text they’re trained on. Researchers tackle this by diversifying training data and introducing bias reduction techniques. It’s not a complete fix, but it’s a step towards more balanced AI.
Conclusion
Large Language Models mark a major leap forward in artificial intelligence. By handling text in a distinctly human manner, they’ve reshaped many industries, saved countless hours of labour, and unlocked fresh ways to explore information. Whether it’s GPT, BERT, or T5, each model carries strengths that speak to language understanding on a sophisticated level. Challenges remain—chief among them ethics, data privacy, and potential bias—but the track record so far suggests progress will continue at a lively pace. As LLMs evolve, our interactions with technology look set to become more intuitive, efficient, and genuinely helpful than ever before.
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