Decoder. plain-English AI glossary

Text generation

● Core

A model producing new text one token at a time, each choice conditioned on everything so far.

Think of it like

Like writing a sentence where you commit to one word, then choose the next based on all the words already down.

Example

You type a prompt and watch the reply stream in word by word — that streaming is generation happening token by token.

How it actually works

Generation is autoregressive: the model predicts a probability distribution for the next token, a decoding strategy picks one, it’s appended, and the loop repeats. Everything from temperature to stop sequences is really about shaping or ending this loop. It’s also why longer outputs cost proportionally more time and money.

For product teams

The core act you’re paying for; output length drives both latency and cost linearly.

For engineers

Iterative next-token sampling from the model’s conditional distribution until a stop condition; inherently sequential.

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