What is Artificial Intelligence?

Artificial intelligence (AI) refers to computer systems that can perform tasks normally requiring human intelligence, such as learning, reasoning, and making decisions. AI works by combining large amounts of data with fast, iterative algorithms to solve problems, recognise patterns, and generate new insights.

Types of AI include:

  • Generative AI: Creates new content such as text, images, voice, video, and code (e.g. ChatGPT)
  • Machine Learning: Algorithms that learn and improve from data (e.g. virtual assistants)
  • Natural Language Processing: Analyses and understands text, enabling chatbots and digital assistants
  • Computer Vision: Analyses images and videos (e.g. facial recognition, driverless vehicles, medical imaging)

AI does not possess general intelligence or consciousness. Its actions are governed by human-defined rules and objectives, and it cannot perform tasks beyond its programmed scope.

Why does AI matter?

AI is one of the most transformative technologies of our time. It is driving innovation and productivity across industries, governments, and communities worldwide.

An infographic comparing the benefits and risks of AI. On the left side, labeled 'Benefits', there are five bullet points: 1. Increases productivity and efficiency. 2. Delivers improved services to the community. 3. Enhances safety and decision-making in government. 4. Supports policy analysis and evidence-based decisions. 5. Enables new products, services, and business models. On the right side, labeled 'Risks', there are five bullet points: 1. AI learns from data – and data can be flawed. 2. AI doesn’t 'understand' like humans do. 3. AI can misinterpret requests. 4. AI doesn’t know when it’s wrong. 5. AI is not a replacement for human judgment.

For South Australia, AI offers the potential to:

  • Increase productivity and efficiency
  • Deliver improved services to the community
  • Enhance safety and decision-making in government
  • Support policy analysis and evidence-based decisions
  • Enable new products, services, and business models

While AI has immense potential, it is also imperfect and can make mistakes. For example:

  • AI learns from data – and data can be flawed: If the information used to train AI is biased, incomplete, or incorrect, the AI can reflect those same problems, including existing biases.
  • AI doesn’t ‘understand’ like humans do: AI can process patterns and make predictions, but it doesn’t have common sense or real-world experience.
  • AI can misinterpret what you mean: If a question or request is unclear, AI might guess incorrectly and give an irrelevant or confusing response. It can also miss subtle meanings or cultural differences.
  • AI doesn’t know when it’s wrong: Unlike people, AI doesn’t have self-awareness. It can be confidently wrong without realising it.
  • It’s not a replacement for human judgement: AI can assist and automate, but important decisions should still involve people – especially when fairness, safety, or ethics are involved.