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This video tutorial from Cohere AI discusses word and sentence embeddings, which are essential for large language models. These embeddings enable computers to process language by converting words and sentences into numerical representations. Word embeddings associate each word with a list of numbers, while sentence embeddings do the same for sentences, ensuring the numerical values make contextual sense. This process is automated and performed by complex neural network models rather than humans. The neural network analyzes the context in which words appear together, gradually bringing related words closer in numerical space, leading to impressive results in language understanding.