How Does ChatGPT Work? Simplified.

OpenAI’s ChatGPT transformed the way human beings interact with AI. But how does ChatGPT work? No filler words - a simple explanation of the technology behind.
4 min read
4 min read
How does ChatGPT work? Simplified.
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We all know it – OpenAI’s ChatGPT transformed the way human beings interact with AI. How does ChatGPT work? This question is at the heart of understanding how LLMs can generate human-like text. Let’s explore the mechanics of ChatGPT, dive into the concept of word prediction, and the principles of AI text generation. No filler words – a simple explanation of the technology behind how ChatGPT works.

How Does ChatGPT Work?

What is an LLM?

Essentially, ChatGPT is an LLM or Large Language Model. An LLM is an advanced type of artificial intelligence (AI) program designed to understand, generate text, and interact using human language. Built using machine learning algorithms, particularly those based on deep learning, these models are trained on vast amounts of text data. This extensive training enables them to predict the next word in a sentence, generate coherent paragraphs, and even respond to queries with high accuracy.

GPT Meaning and Origins

GPT stands for “Generative Pre-trained Transformer.” The “generative” aspect refers to its ability to create text, while “pre-trained” indicates that the model has been trained on extensive text data before fine-tuning for specific tasks. The “transformer” part of the acronym highlights the neural network architecture used to process and generate text.

The Probabilistic Nature of ChatGPT

How Does ChatGPT Generate Responses?

ChatGPT’s ability to generate coherent and contextually relevant responses is rooted in its training on a diverse dataset. This allows ChatGPT to mimic human-like responses across various topics. When prompted, ChatGPT quickly analyzes its vast training data to produce responses statistically likely to follow the given input, all within milliseconds. 

Each word it generates carries a probability score, determining its likelihood of being the next word in a sequence. This probabilistic approach ensures that ChatGPT’s responses are relevant, varied, and contextually appropriate.

Word Prediction in Action

For instance, if we take a simple prompt like “I have a,” the model evaluates various possibilities like “dog,” “cat,” or “headache,” for example, each with different probabilities. The word with the highest probability is typically chosen.

Imagine you start a sentence with “I have a.” The language model considers all possible endings:

  • I have a dog.
  • I have a cat.
  • I have a microphone. 
  • I have a headache.

Each word has a certain probability based on the context and previous training data. For example, “dog” might have a higher probability than “headache” following “I have a,” but “headache” could become more probable if the prompt was “My head hurts…”

  • I have a dog – 42%.
  • I have a cat – 32%.
  • I have a microphone – 20% 
  • I have a headache – 6%. 

Thus, the model will usually choose the word with the higher probability and complete the sentence: “I have a dog.” This process continues with every next word the model generates.

How Does ChatGPT Work?
Example on probability.

Variability and Randomness

So why does ChatGPT not always give the word with the highest probability? You may notice that ChatGPT provides varied responses to the same prompts. This happens because the model doesn’t always choose the highest probability word. If it did, it would always respond the same way to the same question. Instead, it incorporates some randomness, making interactions more dynamic and less predictable. After all, you don’t want to receive the same answer every time, right?

How to Learn ChatGPT?

The truth is – to learn how to use ChatGPT and how ChatGPT works is to continue using it and test its capabilities. Here are some strategies:

1. Learn how to be a good prompter: The more varied your prompts, and the more you experiment with different ones, the better you understand ChatGPT’s response patterns and limitations.

2. Understand the impact of specific words: Some words trigger more detailed responses. Experimenting with synonyms and related phrases can yield different results.

3. Use direct questions for specific information: ChatGPT often responds effectively to clear and direct questions, making it a valuable tool for obtaining specific information quickly.

Learning ChatGPT Can Be Easy

Check out our FREE ChatGPT for Work Course. The course explains how ChatGPT works, discusses probability, and teaches you how to use Team-GPT effectively with hundreds of practical examples and exercises.

  • Develop your AI skills
  • Engage with a series of educational videos
  • Complete approximately 100 exercises

Most lessons are brief, lasting just 2-3 minutes, with the total video content amounting to around an hour. Your instructor for this course is Team-GPT’s CEO Iliya, who has:

  • Taught AI to over 1.3 million people online
  • Accumulated 10 years of teaching experience
  • Unique insights into how teams should adopt GPT

The course is designed to promote interactive learning. We believe in a hands-on approach, so expect to be interacting with ChatGPT for 90% of the time.

👉 Here’s the 1st lesson

Insights from Stephen Wolfram

Stephen Wolfram’s article, “What is ChatGPT Doing and Why Does It Work?” is a great resource that provides an in-depth look at the mechanics behind ChatGPT and how it works. Wolfram explains how the model’s probabilistic approach allows it to generate diverse and contextually relevant responses. 

Iliya Valchanov

Iliya teaches 1.3M students on the topics of AI, data science, and machine learning. He is a serial entrepreneur, who has co-founded Team-GPT, 3veta, and 365 Data Science. Iliya’s latest project, Team-GPT is helping companies like Maersk, EY, Charles Schwab, Johns Hopkins University, Yale University, Columbia University adopt AI in the most private and secure way.