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<!DOCTYPE html>
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<title>Theory — Applied AI & AI Engineering (visual notes)</title>
<meta name="description" content="Applied AI vs AI engineering: shipping models, MLOps loop, evaluation in production, safety and monitoring — with diagrams.">
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<a class="nav-link" href="theory_data_engineering.html"><span class="nav-dot"></span>Data engineering</a>
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<div class="hero-tag"><a href="ml_theory_hub.html" style="color:inherit;text-decoration:none;">← Hub</a> · Applied AI & AI eng.</div>
<h1>Applied AI & <em>AI engineering</em></h1>
<p class="hero-lead"><strong>Applied AI</strong> emphasizes outcomes: solving business problems with models under constraints. <strong>AI engineering</strong> is the discipline of building reliable systems—data, training, deployment, monitoring, and governance—so those models work in production, not only in notebooks.</p>
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<div class="content">
<section class="sec">
<h2><span class="sec-num">01</span> Roles (overlapping)</h2>
<div class="compare-2">
<div class="figure" style="margin:0;">
<div class="figure-title">Applied AI / ML</div>
<p class="prose" style="margin:0;">Problem framing, baselines, metrics tied to decisions, stakeholder communication, often notebook-to-first-deploy.</p>
</div>
<div class="figure" style="margin:0;">
<div class="figure-title">AI / ML engineering</div>
<p class="prose" style="margin:0;">Scalable training & inference, CI/CD for ML, feature stores, latency/cost SLOs, on-call, safe rollbacks.</p>
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<div class="figure">
<div class="figure-title">Figure — shared production loop</div>
<svg viewBox="0 0 400 200" xmlns="http://www.w3.org/2000/svg">
<ellipse cx="200" cy="100" rx="170" ry="75" fill="none" stroke="#a5b4fc" stroke-width="2" stroke-dasharray="6 4"/>
<text x="200" y="35" text-anchor="middle" fill="#3730a3" font-family="JetBrains Mono" font-size="11" font-weight="700">DATA</text>
<text x="340" y="105" text-anchor="middle" fill="#0d9488" font-family="JetBrains Mono" font-size="11" font-weight="700">TRAIN</text>
<text x="200" y="185" text-anchor="middle" fill="#b45309" font-family="JetBrains Mono" font-size="11" font-weight="700">DEPLOY</text>
<text x="55" y="105" text-anchor="middle" fill="#7c3aed" font-family="JetBrains Mono" font-size="11" font-weight="700">MONITOR</text>
<circle cx="200" cy="100" r="8" fill="#fde68a" stroke="#ca8a04"/>
<text x="200" y="104" text-anchor="middle" font-size="8" fill="#854d0e" font-family="JetBrains Mono">CI</text>
</svg>
<p class="figure-caption">Iteration is closed-loop: monitoring reveals drift and errors, feeding back into data and retraining—see also <a href="theory_data_engineering.html">data engineering</a>.</p>
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<h2><span class="sec-num">02</span> What “production” adds</h2>
<table class="theory-table">
<tr><th>Concern</th><th>Why it matters</th></tr>
<tr><td>Latency & throughput</td><td>User-facing APIs and batch scoring have SLOs; batching and hardware matter.</td></tr>
<tr><td>Reliability</td><td>Retries, fallbacks, idempotent consumers, health checks.</td></tr>
<tr><td>Observability</td><td>Structured logs (no secrets), metrics, traces—debug without PII in plain text.</td></tr>
<tr><td>Evaluation</td><td>Offline metrics + online A/B or shadow traffic; slice analysis for fairness gaps.</td></tr>
<tr><td>Governance</td><td>Model cards, access control, audit trails for regulated domains.</td></tr>
</table>
</section>
<section class="sec">
<h2><span class="sec-num">03</span> Applied AI in the LLM era</h2>
<p class="prose">Product teams combine <strong>foundation models</strong> with retrieval, tools, and guardrails. Success is less about raw perplexity and more about task success rate, safety, and cost per request. The comparison <a href="theory_rag_vs_finetune.html">RAG vs fine-tuning</a> is central to system design.</p>
<div class="pill-row">
<span class="pill">Prompting</span>
<span class="pill">RAG</span>
<span class="pill">Fine-tuning</span>
<span class="pill">Tool use / agents</span>
<span class="pill">Eval harnesses</span>
</div>
</section>
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Next: <a href="theory_rag_vs_finetune.html">RAG vs fine-tuning</a> ·
<a href="../programming/python_101_fastapi_eng.html">FastAPI & engineering (code)</a>
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