Viqus Logo Viqus Logo
Home
Categories
Language Models Generative Imagery Hardware & Chips Business & Funding Ethics & Society Science & Robotics
Resources
AI Glossary Academy CLI Tool Labs
About Contact
Back to Glossary
Ethics & Society Intermediate Also: XAI, Interpretable AI, Transparent AI

Explainable AI (XAI)

Definition

A set of methods and principles aimed at making AI model decisions interpretable and transparent to humans — enabling auditing, debugging, regulatory compliance, and trust in AI systems.

In Depth

Explainable AI addresses the 'black box' problem: modern deep learning models can contain billions of parameters and produce highly accurate predictions, but their internal reasoning is opaque to human understanding. When a loan application is rejected, a medical diagnosis made, or a hiring decision influenced by an AI, the people affected have a legitimate right to understand why. XAI provides tools to extract, approximate, or design interpretable explanations of model behavior.

XAI methods fall into several categories. Global explanation methods describe the overall behavior of a model — which features matter most across all predictions. Local explanation methods explain individual predictions — why did the model classify this specific loan application as high-risk? Model-agnostic methods (LIME, SHAP) work on any black-box model by approximating its behavior locally or computing Shapley values that attribute each feature's contribution to a prediction. Model-specific methods use inherent model structure — for CNNs, Grad-CAM highlights the image regions that drove a classification decision.

The regulatory landscape is increasingly demanding explainability. The EU's GDPR includes a 'right to explanation' for automated decisions. The EU AI Act requires documentation and transparency for high-risk AI systems. Financial regulators in the US require lenders to explain credit decisions to applicants. These requirements are driving investment in XAI as a compliance necessity — but also as an engineering tool, since explainability aids debugging, bias detection, and model improvement.

Key Takeaway

Explainable AI is not about making models simpler — it is about making their behavior legible to the humans who must trust, audit, and be accountable for them. Opacity is a risk; interpretability is a defense.

Real-World Applications

01 Credit decision explanations: providing loan applicants with legally compliant reasons for adverse decisions based on SHAP feature contributions.
02 Medical AI transparency: showing clinicians which image regions or patient features drove a diagnostic AI's prediction.
03 Model debugging: identifying which training data patterns are causing unexpected or biased model behaviors.
04 Regulatory compliance: documenting model behavior for EU AI Act, GDPR, and financial regulatory requirements.
05 Fraud detection review: helping analysts understand why a specific transaction was flagged as suspicious by an ML model.

Frequently Asked Questions

Why is Explainable AI important?

XAI matters for three reasons: trust (users and stakeholders need to understand why AI makes decisions), compliance (regulations like GDPR's 'right to explanation' and the EU AI Act require transparency), and debugging (understanding model reasoning helps identify errors, biases, and failure modes). In high-stakes domains like healthcare, finance, and criminal justice, unexplainable AI is often unacceptable.

What are SHAP and LIME?

SHAP (SHapley Additive exPlanations) and LIME (Local Interpretable Model-agnostic Explanations) are the two most popular post-hoc explainability methods. SHAP assigns each feature an importance score based on game-theory principles, showing how much each input contributed to a prediction. LIME creates a simple, interpretable model that approximates the complex model's behavior around a specific prediction. Both work with any model type.

Can you make deep learning models explainable?

Partially. Techniques include attention visualization (showing which input parts the model focused on), saliency maps (highlighting image regions that influenced classification), concept bottleneck models (forcing intermediate representations to be human-interpretable), and mechanistic interpretability (reverse-engineering what individual neurons represent). Full explainability of large neural networks remains an open research challenge.