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This video tutorial from Cohere AI discusses word and sentence embeddings, which are crucial for large language models. It explains that language models aim to enable computers to understand language, but since computers can only process numbers, word embeddings convert words into numerical representations. Each word is associated with a list of numbers, and similarly, sentence embeddings assign numbers to sentences meaningfully. This process is not human-driven; instead, it relies on complex neural networks that analyze context. Words that appear in similar contexts are assigned closer numerical values, leading to impressive outcomes in natural language processing.