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HomeBlogAI & Learning
AI & Learning

How Do Large Language Models Work? A Beginner's Explanation

How large language models (LLMs) like ChatGPT work, in plain language: tokens, training, prediction, and why they sometimes make things up.

The Teyro TeamOct 25, 20262 min read
On this page9 sections
  1. Direct answer
  2. Step by step
  3. What it's good at
  4. Where it struggles
  5. Why it makes things up
  6. Beyond the model
  7. Where Teyro fits
  8. The bottom line
  9. More AI guides

Tools like ChatGPT are built on large language models, or LLMs. The core idea is simpler than it seems.

Direct answer

A large language model is trained on huge amounts of text to predict what comes next. It breaks text into small pieces called tokens, learns patterns between them, and when you ask something it generates a reply one token at a time. It doesn't look up facts, so it can sound confident while being wrong.

Step by step

  1. Text becomes tokens. Words are split into small pieces.
  2. Training. The model reads vast amounts of text and learns to predict the next token. Its internal numbers are adjusted until predictions are good.
  3. Fine-tuning. Extra training with examples and human feedback makes it more helpful and safer.
  4. Using it. Your question is turned into tokens. The model predicts the next token, adds it and repeats, producing the answer.

What it's good at

  • Writing, rewriting and summarising
  • Explaining ideas
  • Translating
  • Helping with code

Where it struggles

  • Facts it hasn't seen or that are recent
  • Exact maths and counting
  • Knowing when it's wrong
  • Long chains of reasoning without checks

Why it makes things up

It predicts plausible text. If it doesn't know, it may still produce a plausible answer. Check anything important. See how to use ChatGPT.

Beyond the model

An app can give a model tools (search, code, files), memory and rules. That is how assistants and AI agents are built. For the wider picture, see how AI works in simple terms.

Where Teyro fits

Teyro's The AI Stack course covers chips, models, data, agents, apps and evaluation, and you build your own AI assistant in your browser, one layer at a time. It is free to start.

The bottom line

An LLM is a very good text predictor. Useful, but verify.

More AI guides

  • How does AI work?
  • What is an AI agent?
  • Best AI for beginners
  • The AI Stack course

Frequently asked questions

What is a large language model?

An AI model trained on a huge amount of text to predict the next piece of text, which lets it write, summarise, translate and answer questions.

What is a token?

A small chunk of text, such as a word or part of a word, that the model reads and writes.

Why do LLMs make things up?

They generate likely text rather than looking up verified facts, so they can produce confident but wrong statements, sometimes called hallucinations.

Does an LLM remember our past chats?

Not by itself. It only sees the text it is given in the current conversation, plus any memory features the app adds.

Build the layers yourself

The AI Stack shows how models, data, agents and apps fit together, and you build your own AI assistant in your browser. Free to start.

See The AI Stack course

Free to start · No credit card needed

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Written by

The Teyro Team

Learning Team at Teyro

We build Teyro — an AI-powered learning platform that turns skill-building into a daily habit through bite-sized, gamified lessons. We write about the learning science and study strategies that shape our product.

More from The Teyro Team

On this page

  • Direct answer
  • Step by step
  • What it's good at
  • Where it struggles
  • Why it makes things up
  • Beyond the model
  • Where Teyro fits
  • The bottom line
  • More AI guides

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