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This video tutorial from Cohere AI explains word and sentence embeddings, which are essential for large language models. Language models aim to help computers understand and process human language, which is inherently composed of words. However, computers operate using numbers, so word embeddings translate words into numerical representations. Similarly, sentence embeddings convert sentences into a list of numbers meaningfully. This translation isn't done manually; instead, a neural network analyzes context, bringing words and sentences closer in the numerical space when they appear together. This process yields impressive outcomes in language understanding and processing.