Definition
Generative AI produces something entirely new, whether that's text, images, code, or audio, based on what it's learned from data. Unlike analytical AI (which finds patterns in existing data), generative AI creates original content.
Example
You describe a marketing email in plain language, and generative AI produces a complete draft with the right tone, structure, and call to action.
Why it matters
Generative AI is the foundation of AI agents. Without the ability to generate text, code, and plans, agents couldn't perform tasks.