Perplexity AI LITERALLY built a $14 billion company with just ONE main improvement that differed from ChatGPT. Now that one update is being utilized by every industry. It's called the RAG model. Here's the problem they solved: If you ask ChatGPT, "What's the population of China in 2025?" and it confidently says 1.34 billion people, sounds good, right? But what if it just made that up or it's giving an answer from its last training date which might not be accurate now? With regular ChatGPT, there's no way to check the answer. It could be totally wrong and you'd never know. So when you're making business decisions or doing research, you're flying blind. RAG works like an intelligent research assistant with three core functions: Retriever, Augmenter, and Generator. First, the Retriever searches databases and the internet for relevant information about your question. Then the Augmenter analyzes the retrieved content and selects the most relevant answers, tracking the source of each fact. Finally, the Generator creates a comprehensive response using those verified facts. But here's the best part: It includes sources showing exactly where each piece of information came from. For example, if an investor asks about emerging market trends, traditional AI might generate plausible-sounding but unverified information. But with RAG, it searches financial databases, finds verified reports from Bloomberg or McKinsey, and provides analysis with proper citations. Perplexity turned this into a search engine that actually explains things. Now lawyers use it to find case precedents with documentation. Students write research papers with proper references and citation. Customer support pulls accurate answers from company documentation. Good thing is AI can finally say "according to this source" instead of just pretending to know everything. 👇 Want a step-by-step tutorial + guide on how to build your own RAG-powered AI assistant (with real-time sources and citations)? Comment “RAG” and I’ll DM you the complete guide. 2) LIKE this post 3) Make sure we are CONNECTED so I can DM you. 4) Repost (if you want to get it faster)
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Senior Scrum Master at icare NSW
1moRAG