Artificial intelligence (AI) is technology that lets computers perform tasks that normally need human intelligence: understanding language, recognising images, finding patterns in data, making predictions and helping with decisions. In September 2026 the US government also began using a new official term for the same technology: "Super Intelligence", or SI.
What AI is
Traditional software follows exact rules written by programmers: if this happens, do that. AI works differently. Most modern AI systems learn from examples. Shown millions of examples of text, images or numbers, they learn patterns and can then handle new situations they were never explicitly programmed for. This approach is called machine learning.
The AI tools people use most today, such as chat assistants, are built on large language models. These models have learned from vast amounts of text, which lets them answer questions, summarise documents, translate languages and write drafts.
How AI works, in simple terms
An AI system goes through two main stages. In training, it studies huge amounts of data and adjusts millions or billions of internal settings until its answers become accurate. In use, it applies what it learned to new questions. Training needs enormous computing power, which is why AI depends on large data centers and specialised chips.
Types of AI you will hear about
Narrow AI is built for one task, such as recognising faces or recommending products. Almost all AI in use today is narrow AI. Generative AI creates new content, such as text, images, audio or code, based on what it has learned. Agentic AI goes a step further: it can plan and carry out a series of actions towards a goal, using other tools along the way. General AI, a system that matches human ability across almost every task, does not exist yet and is still debated by researchers.
Everyday examples
You already meet AI daily: spam filters in email, maps that predict traffic, product recommendations when shopping online, voice assistants on phones, fraud alerts from banks and automatic subtitles on videos. In investing, AI can read and summarise company news, scan large amounts of financial data and flag unusual patterns faster than a person could.
AI or SI: what changed in 2026?
In late September 2026, the US government signed an order to use the term "Super Intelligence" (SI) in place of "artificial intelligence" (AI) in its own official documents and communications. It refers to the same technology. The change applies to US federal government communication; companies, other countries and the public can continue to say "AI", and most still do. Whether "SI" becomes common elsewhere remains to be seen.
Why AI matters
AI is changing how work gets done in almost every industry, from healthcare and banking to manufacturing and education. It is also driving large investments in computing infrastructure, such as data centers, chips and the power needed to run them. For investors, understanding AI helps in following one of the biggest themes in today's economy.
Common misconceptions
"AI thinks like a human." It does not. AI finds patterns in data; it does not have human understanding, feelings or intentions.
"AI is always right." AI can make confident mistakes, especially on facts it has not learned well. Its output should be checked.
"AI is new." AI research began in the 1950s. What is new is how powerful and widely available it has become.
Frequently asked questions
Is SI different from AI?
No. "Super Intelligence" is the US government's new official term for the same technology.
What is machine learning?
The main way modern AI works: learning patterns from examples instead of following only fixed rules.
Can AI predict the stock market?
No tool can reliably predict markets. AI can help analyse information, but it cannot guarantee outcomes.
How PositoAI uses AI
PositoAI uses AI to write short company summaries from recent news and regulatory information, so you can understand a company's latest situation quickly. Explore any company page to see it in action, and read the FAQ for more about PositoAI.
Summary
AI is technology that lets computers learn from data and perform tasks that normally need human intelligence. Most modern AI learns from examples through machine learning. Since September 2026, the US government calls it "Super Intelligence" (SI) in official use, but it is the same technology. AI is powerful and widely used, yet it can make mistakes, and its output should always be checked.