AI and Gen AI: What’s the Difference?

June 3, 2024

AI and Gen AI: What’s the Difference?

Who isn’t familiar with AI and its influence? It has wholly changed the way how we live and work. Why are we saying this? Let’s explore the things around you and see where you can’t find the profound impact of AI.

Traditional AI has transformed every industry, including healthcare, retail, e-commerce, and many more. Doctors use it to automate their operations, bankers use it to prevent fraud, and e-commerce stores use it to suggest relevant products based on browsing history.

Traditional AI? What made us use the term traditional AI when we can simply refer to it as AI? Are there any other types of AI that make this distinction necessary? The simple answer is YES

When discussing AI, do you think we always refer to the same thing? If so, you need to rethink. Traditional AI now shares the stage with a new technology: Generative AI 

You may have witnessed the rise of ChatGPT in late 2022. Most people have a misconception that ChatGPT is an AI tool, but that’s not right. ChatGPT uses a special type of AI called generative AI.

In this article, we will discuss the difference between AI and generative AI, their applications, which suits your business, and much more.

What is traditional AI? What is traditional AI?

Artificial intelligence is known as the most innovative technology of the 21st century. It enables computers and machines to mimic human cognition to solve real-world problems. The machines with AI capabilities can think and act like humans. 

AI encompasses a range of advanced technologies, including natural language processing, machine learning, and deep learning. Some examples of traditional AI are recommendation engines, decision trees, rule-based systems, voice assistants, etc.

There are three types of AI based on capabilities:

  1. Weak AI: Designed to perform a single task exceptionally.
  2. Strong AI: Can perform any intellectual task that a human can perform. 
  3. Superintelligent AI: Hypothetical AI that will surpass human intelligence in all respects.

3 Top Benefits of AI

3 Top Benefits of AI

AI is constantly pushing the boundaries of innovation. It offers numerous advantages to individuals and organizations that can’t be overlooked. Some benefits of AI include:

1. Automates Repetitive Tasks

Repetitive tasks are a part of every profession. For example, caregivers have to record patient data and schedule appointments daily. It requires a lot of time and stresses the providers. AI automates repetitive tasks and saves a hefty amount of time. Human agents can use this time to perform other crucial tasks.

2. Eliminates Human Errors

Humans are prone to errors. However, well-trained AI models reduce the rate of errors. For example, healthcare providers can overlook important information and vital signs and can mispredict a disease, but AI models are not designed to overlook crucial details. The AI healthcare solutions precisely diagnose diseases to deliver personalized care.

3. 24/7 Availability

Here is a question for you: Can humans be available round-the-clock to provide support whenever required? The obvious answer is No. However, AI can resolve this concern. For example, AI chatbots are widely used as customer support agents. These chatbots are available 24/7 and resolve user queries within no time. They take good care of your visitors even when you are asleep.

Due to these and many other benefits of AI, the market of AI software has seen a boom. According to Statista, the global AI software market is expected to proliferate and reach $126 billion by 2025.

What are the real-world applications of AI?

real-world applications of AI

If you are a tech enthusiast, you must be wondering about the use cases of AI. No industry is untouched by the AI, be it healthcare or transportation. Here are some real-world applications of AI across various sectors:

1. AI in Healthcare

AI is used in healthcare to automate operational workflows and reduce administrative burdens. It is also used to speed up the diagnosis and treatment process. Moreover, AI analyzes vast datasets and predicts future events. It allows caregivers to make necessary arrangements or offer personalized medication to achieve better health outcomes.

2. AI in Finance

We can see the impact of AI in finance and banking. AI chatbots can resolve customer queries and provide 24/7 support to increase customer satisfaction and trust in the organization. Moreover, AI systems can detect and flag suspicious transactions for further investigation. Almost 80% of banks are familiar with the benefits of AI for the industry and are integrating AI into their ecosystems.

3. AI in E-Commerce

AI in e-commerce has significantly enhanced the user experience. It is because AI analyzes your browsing history, interests, etc, and recommends products to make the shopping experience a breeze. 

Have you ever noticed that a live agent is always available on the e-commerce websites, answering your questions and providing suggestions? Do you really think that is a human agent? If so, you may not be right. Those are AI virtual assistants doing their job of assisting visitors and building trust in the brand.

What is Generative AI?

What is Generative AI

Generative AI is also known as Gen AI. It is a type of artificial intelligence that generates various types of content. This content can be text, images, voice messages, videos, etc. It enhances productivity and saves time by allowing people to create content in a fraction of the time that requires days or even weeks. 

Gen AI has been a hot topic since the emergence of ChatGPT. Since then, we have witnessed brands like Meta, Google, and other big players introduce their generative AI models to take the lead over each other. Some notable generative AI examples include GPT-4o, Google Gemini, Meta AI, DALL-E, etc.

There has been widespread adoption of these gen AI tools because they enhance employee productivity, minimize human errors, and help with creative ideas. According to MarketsAndMarkets, the generative AI market will be $20.9 billion in 2024 and is expected to reach $136.7 billion by 2030.

3 Top Benefits of Generative AI

3 Top Benefits of Generative AI

Highlighting a few of the numerous benefits of generative AI is quite difficult for us. However, we have mentioned some generative AI advantages to give you a glimpse of the massive potential of the technology. These benefits include:

1. Mass Content Creation

How much time does a human writer require to generate a web copy? May be 8 hours or even more. However, generative AI models allow people to generate hundreds of copies within an hour. All you have to do is provide your requirements, and these models will create content of the highest quality.

2. Improved Efficiency & Productivity

Generative AI tools automate day-to-day processes to free up resources. This automation increases workflow efficiency and allows organizations to utilize their resources in a better way. A recent report indicates that generative AI tools like ChatGPT can increase employee productivity. To better understand the point, let’s take an example.

Developers deal with a lot of bugs. Sometimes, finding even a little bug in the code consumes hours. On top of that, manually written code might not be as efficient. However, generative AI models suggest code improvements and detect any bugs with just a simple prompt. This way, developers can save a lot of time on more complex tasks.

3. Adaptive Learning

One of the major advantages of using a generative AI system is its ability to continuously learn and evolve. These models learn from the new data and the feedback to improve accuracy. 

Moreover, they learn from user behavior and provide personalized responses. What makes these systems stand out is their capability to understand the user context and generate more relevant responses.

What are the real-world applications of Generative AI?

What are the real-world applications of Generative AI?

Almost everyone today has easy access to generative AI systems. Here are some use cases of generative AI:

1. Generative AI in Healthcare

The healthcare sector takes Gen AI’s influence more than any other industry. There are multiple use cases of generative AI in healthcare

Doctors can now offer personalized treatments to individuals with insights into their genetic profiles and medical history. That’s only one aspect; it can improve medical imaging and aid medical research and data analysis. 

Overlooking the role of generative AI in drug discovery when discussing the technology is a crime. It speeds up the drug discovery and development process and quickly brings a new drug to the market while saving costs.

2. Generative AI in Media and Entertainment

Media and entertainment are other industries that benefit from generative AI models. These models can provide unique ideas and generate any form of content from scratch in no time. It has made the lives of designers and writers easier. 

With Gen AI systems by your side, you can create compelling content for advertising and social media. Moreover, you can generate visuals and edit them for marketing and production design purposes. They enhance productivity and allow you to focus on other crucial tasks.

3. Generative AI in Software Development

Have you ever seen a friend or colleague stressed out over a bug in their code that they can’t locate? Even when the only issue is a missing statement terminator (;). Generative AI has a solution for all the developers struggling with bugs and code optimization. 

The generative AI systems allow developers and QA engineers to generate code, identify bugs, and even optimize their code with little to no effort. These systems accelerate the coding process and relieve stress on developers.

3 Top Challenges of AI and Gen AI

There is no doubt about the transformative potential of AI and generative AI. However, we all know that the power technology in the wrong hands can do more harm than good. It is crucial to address these challenges to use these technologies to their full potential. Here are some challenges:

1. Data Bias

By now, we all know that AI and gen AI models are trained on vast amounts of data. The biases in this training data may lead to inaccurate outcomes. Removing any biased data to achieve accurate outcomes from these systems is crucial to avoid discrimination.

2. Lack of AI Explainability

You might have used generative AI systems to automate your daily operations. But have you ever wondered how these systems reach a specific conclusion? Maybe Not. There is no proper justification for how AI and gen AI models provide recommendations. This can raise questions about their reliability and break the trust of many.

3. Data Privacy & Security

Data security and privacy are among the major concerns of artificial intelligence. These gen AI and AI systems are more vulnerable to cyber-attacks. Moreover, will you be okay if your data is unsafe and anyone can access it? No, Right? The same holds for patients. They are highly sensitive about their data privacy. 

Organizations unable to protect patient data can face legal action. It is crucial to ensure that the AI systems comply with regulatory authorities like HIPAA and GDPR.

Difference Between AI and Generative AI: A Quick Comparison

Now that we all are on the same page and have comprehensive information about AI and generative AI, from their benefits to use cases to challenges. It is the time to delve deeper and learn more about the difference between AI and generative AI.

Difference Between AI and Generative AI: A Quick Comparison

AI vs. Generative AI: Which Suits Your Business?

If you are a business owner who wants to enhance operational efficiency and overcome business challenges, you must be wondering which technology will best suit your business. Don’t worry. We are here to help you decide which technology will fit your business needs.

When to choose artificial intelligence?

If you are struggling with fraud detection, operational inefficiencies, and want to gain insights from your data, you might need AI solutions. Additionally, if you run a healthcare, finance, or manufacturing business, traditional AI solutions could be beneficial.

When to choose Gen AI?

If you have to generate synthetic datasets or creative content in bulk for websites, social media, advertising, or any other purpose, generative AI systems are what your business requires. Moreover, if you are in one of the creative industries, including entertainment, art, etc., you might need to incorporate generative AI into your ecosystem.


We can confidently say that the future looks promising with further advancements in AI and generative AI. They offer unique benefits across industries ranging from healthcare and finance to entertainment and beyond. While challenges exist, their benefits far outweigh them. In this article, we have learned about the difference between AI and generative AI, their application, benefits, and when to use which one. Organizations must leverage these technologies according to their requirements and stay ahead of the curve.

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About the Author: Taimoor Asghar

Taimoor Asghar is a Technical Content Writer with a passion for emerging technologies, continuously keeping himself updated with the latest industry and technological trends. He ensures that complex concepts are translated into informative pieces, catering to both experts and novices. He crafts engaging narratives through blogs, articles, and how-to guides that captivate audiences and inspire them to delve deeper into the ever-evolving world of tech innovation.
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