Definition: AI chatbot

An AI chatbot is a computer program that uses artificial intelligence to understand natural language and answer customer questions automatically, in its own words – around the clock, in chat.

How does an AI chatbot work?

An AI chatbot analyses a user's message with language models, recognises the intent behind it and formulates a fitting answer from a stored knowledge base. Unlike a rigid menu, it understands freely worded questions too.

If a request can't be resolved automatically, the bot hands it over to a human, so your team only takes the conversations that truly need one.

AI chatbot vs. rule-based chatbot

A rule-based chatbot follows predefined click paths. An AI chatbot understands language and responds flexibly, without every case having to be built in advance. HeroChat runs its AI on Azure OpenAI in Frankfurt, so your data stays in the EEA.

Related terms

Frequently asked questions

What is the difference between a chatbot and an AI chatbot?
A classic chatbot follows fixed rules and click paths. An AI chatbot uses artificial intelligence, understands freely worded language and answers flexibly from a knowledge base – even to questions it wasn't explicitly programmed for.
Is an AI chatbot GDPR-compliant?
It can be. What matters is EU hosting, a data processing agreement and transparent user information. HeroChat meets these requirements and hosts its AI in Frankfurt.

See HeroChat in action

The GDPR-compliant AI chatbot from Germany – try it free, 100 messages per month, no credit card.

Try for free