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Applied AI & AI engineering

Applied AI emphasizes outcomes: solving business problems with models under constraints. AI engineering is the discipline of building reliable systems—data, training, deployment, monitoring, and governance—so those models work in production, not only in notebooks.

01 Roles (overlapping)

Applied AI / ML

Problem framing, baselines, metrics tied to decisions, stakeholder communication, often notebook-to-first-deploy.

AI / ML engineering

Scalable training & inference, CI/CD for ML, feature stores, latency/cost SLOs, on-call, safe rollbacks.

Figure — shared production loop
DATA TRAIN DEPLOY MONITOR CI

Iteration is closed-loop: monitoring reveals drift and errors, feeding back into data and retraining—see also data engineering.

02 What “production” adds

ConcernWhy it matters
Latency & throughputUser-facing APIs and batch scoring have SLOs; batching and hardware matter.
ReliabilityRetries, fallbacks, idempotent consumers, health checks.
ObservabilityStructured logs (no secrets), metrics, traces—debug without PII in plain text.
EvaluationOffline metrics + online A/B or shadow traffic; slice analysis for fairness gaps.
GovernanceModel cards, access control, audit trails for regulated domains.

03 Applied AI in the LLM era

Product teams combine foundation models with retrieval, tools, and guardrails. Success is less about raw perplexity and more about task success rate, safety, and cost per request. The comparison RAG vs fine-tuning is central to system design.

Prompting RAG Fine-tuning Tool use / agents Eval harnesses