What does Algorithm mean?
An algorithm is a defined set of steps a computer follows to process information, solve a problem or complete a task. In software, an algorithm is essentially a recipe: it takes an input, applies a predictable sequence of operations, and produces an output.
How does it relate to AI?
Algorithms are not exclusive to AI; every computer program uses them. However, AI utilizes specific types of algorithms (like learning algorithms or optimization algorithms). In traditional programming, a human writes an algorithm that says "If A happens, do B". In machine learning, a human writes an algorithm that tells the computer how to find its own rules based on the data it receives.
What is a simple example?
If you want to sort a deck of cards by suit and number, the step-by-step process you follow is an algorithm. You might divide them by colour first, then by suit, then arrange them in numerical order. A computer sorting a list of customer names alphabetically uses a sorting algorithm in the exact same way.
Why does it matter?
The efficiency and design of an algorithm dictate how fast a system runs and how much computational power it requires. In AI, breakthroughs often come not just from building faster hardware, but from researchers discovering more efficient algorithms (like the Transformer) that can process data in fundamentally better ways.