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This video from Cohere AI discusses word and sentence embeddings, essential components of large language models. Language models aim to enable computers to understand and process language, which is inherently made up of words, while computers only handle numbers. Word embeddings convert words into numerical representations, and sentence embeddings do the same for sentences, ensuring a coherent numerical association. This process is computational and not manually curated; it relies on neural networks that analyze context. When words appear together in similar contexts, they are numerically positioned closer together, resulting in effective embeddings that yield impressive outcomes.