Artificial intelligence, commonly abbreviated as AI, refers to the development of computer systems that can perform tasks that would typically require human intelligence. These tasks may include, but are not limited to, problem-solving, learning, speech recognition, and decision-making.

The concept of artificial intelligence has been around for decades, although it has gained significant attention and advancements in recent years. AI enables machines to collect and process large amounts of data, uncover patterns, make predictions, and adapt their actions accordingly.

One of the key components of AI is machine learning, where computer systems can analyze and learn from the data they are exposed to, without being explicitly programmed. This allows them to improve their performance and accuracy over time, making them more efficient and capable of handling complex tasks.

AI has numerous applications across various industries. For instance, in healthcare, AI can assist in diagnosing diseases and recommending treatment plans. In finance, AI can help in detecting fraudulent transactions and improving investment strategies. It can also be found in autonomous vehicles, virtual assistants, customer service, and many other fields.

It is important to note that ethical considerations and regulations play a significant role in the development and deployment of AI systems. Issues such as privacy, bias, and transparency are constantly being addressed to ensure AI benefits society responsibly.

In summary, artificial intelligence encompasses the creation of intelligent computer systems that mimic human intelligence, enabling them to perform tasks and make decisions. Its applications are vast and diverse, impacting various industries positively.