AI glossary
Token
Also called tokens.
A token is a small chunk of text that an AI model reads and writes, often a word or part of a word. Models build every answer one token at a time, and AI providers count usage limits, speed and prices in tokens. Different tools split the same text into tokens differently.
Think of it as
Building bricks: it builds every answer one brick at a time.
Why it matters at work
Limits and costs are counted in tokens, and tokens explain some odd slips, such as AI miscounting the letters in a word.