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Rod Schneider
Rod Schneider

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Understanding AI Language Models: Base, Chat, and Reasoning — A Beginners Guide

AI language models can seem mysterious at first, but once you understand the three main “families,” everything becomes clearer. Whether you're chatting with GPT-style assistants, comparing model types, or planning to train one yourself, knowing how base, chat, and reasoning models differ will help you get much more out of them.

This guide explains each type in a beginner-friendly way.


🌱 The Three Main Types of Language Models

Modern LLMs fall into three broad categories:

  1. Base models
  2. Chat / Instruct models
  3. Reasoning / Thinking models (including hybrid models)

Each has a different training approach, purpose, and set of strengths.


📚 Base Models: The Foundation of Everything

A base model is the raw, unfinetuned version of an LLM. It is trained on large amounts of text with one simple objective:

Predict the next token.

That’s the entire job. No instructions. No conversation. Just pure text continuation.

🖼️ What a Base Model Does

Input Sequence -> Predict Next Token -> Add Token to Sequence -> Repeat
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Everyday example: Your phone’s predictive text

Typing:

“Hey, I’m running…”

…and getting suggestions like "late", "behind", or "errands" is the base-model idea in miniature.

Before ChatGPT, this was how GPT-3 behaved

People had to manually structure prompts to coax it into answering questions:

Q: What is the capital of France?
A: Paris
Q: What is the tallest mountain?
A: 
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It worked, but it wasn’t intuitive.

When base models matter

  • When training your own custom model
  • When adding new capabilities
  • When experimenting without alignment constraints
  • When building specialised datasets or skills

Base models are the “blank canvas” of the LLM world.


💬 Chat & Instruct Models: AI That Understands You

Chat models are base models that have been fine-tuned using instruction-like datasets and conversation-style structures.

They’re taught to follow directions, answer questions, and behave like helpful assistants.

This is the structure used in ChatGPT and similar tools:

🖼️ Chat Model Message Format

┌─────────────────────────┐
│ System: Sets behavior   │
├─────────────────────────┤
│ User: Gives instruction │
├─────────────────────────┤
│ Assistant: Replies      │
└─────────────────────────┘
(repeat...)
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How chat models are trained

They’re usually fine-tuned with:

  • Supervised fine-tuning (SFT)
  • Instruction tuning
  • RLHF (Reinforcement Learning from Human Feedback)

This makes them:

  • Good at following instructions
  • Easy to talk to
  • Helpful for day-to-day tasks

Ideal use cases

  • General chat
  • Writing and editing
  • Summaries
  • Content generation
  • Customer support
  • Productivity tasks

Chat models prioritize clarity, helpfulness, and fluency.


🧠 Reasoning Models: AI That Thinks Step-by-Step

Reasoning models go a step further.

They’re trained not just on answers — but on the thinking process that leads to an answer.

That means:

  • multi-step reasoning
  • intermediate thoughts
  • chains of logic
  • internal reflections
  • step-by-step breakdowns

This helps them tackle harder, multi-stage problems.

🖼️ How a Reasoning Model Responds

User Question
     ↓
[ Model generates reasoning steps ]
     ↓
[ Model derives final answer ]
     ↓
Assistant’s final output
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Reasoning models excel at:

  • Math and logic
  • Code reasoning
  • Troubleshooting
  • Planning
  • Analytical tasks
  • Anything requiring structured thought

The “think step by step” discovery

Early prompt engineers learned something interesting:

Adding “Please think step by step” often improved accuracy dramatically.

This inspired training reasoning models explicitly on thought sequences.


🌀 Hybrid Reasoning Models: Adapting the Amount of Thought

The newest and most advanced models (e.g., GPT-5, Gemini Pro 1.5+) are hybrid models.

They decide how much to reason based on your question.

🖼️ Hybrid Model Decision Flow

              ┌───────────────┐
User Prompt → │ Is deep       │
              │ reasoning     │── Yes → Produce chain-of-thought → Answer
              │ needed?       │
              └───────┬───────┘
                      │ No
                      ↓
                Short, fast reply
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If you say “hi,” you’ll get a simple response.

If you ask for a debugging plan or a business strategy, it produces deeper reasoning.

This flexibility makes hybrid models great for general-purpose use.


⏳ Budget Forcing: Encouraging Deeper Thought

A 2025 paper (S1) demonstrated a surprisingly simple technique to make a reasoning model think more deeply:

Insert the word “wait” into its internal chain of thought.

This causes the model to extend, reconsider, or refine its reasoning sequence.

🖼️ Budget Forcing

Reasoning Step 1
Reasoning Step 2
Wait
→ Model generates more steps
→ Model refines its conclusion
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It’s not magic — it’s pattern continuation.

But it does improve accuracy on hard tasks.


🗂️ Comparison Table

Here's a clear side-by-side view:

Model Type What It Does Best For Notes
Base Predicts next token Custom training, research Not conversational
Chat / Instruct Follows instructions, chats fluently Everyday tasks, writing, conversation Fast and user-friendly
Reasoning Produces intermediate thought steps Hard problems, logic, coding Slower but smarter
Hybrid Chooses how much to reason General-purpose intelligent agents Balances speed and depth

🎨 Creativity vs. Logic: A Helpful Observation

Many people find:

  • Chat models tend to produce more natural, expressive writing
  • Reasoning models can feel more structured or analytical

For creative content (emails, blogs, stories), chat models often feel more fluid.

For analytical content (debugging, planning, math), reasoning models usually perform better.


🎯 Final Takeaways

Understanding these three families of models helps you choose the right tool for the job:

  • Base models → perfect for training or teaching new skills
  • Chat models → great for writing, conversation, creativity
  • Reasoning models → ideal for tough, multi-step challenges
  • Hybrid models → the best general-purpose solution today

Each type plays an important role in the AI ecosystem.

Now that you know how they differ, you can confidently compare models, understand their behavior, and select the right one for your use case.

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