Definition - What does Algorithm Economy mean?
The “algorithm economy” is a term for the evolution of microservices and the functionality of algorithms to drive sophisticated application designs. The term is based on the utility of the algorithm in machine learning, artificial intelligence and other processes where software evolves beyond the limits of its original programming through the use of smart algorithm design.
Techopedia explains Algorithm Economy
In the algorithm economy, companies can buy, sell or trade individual algorithms or pieces of an application. This decentralization of services is a more precise market than the market for full applications – for instance, applications that can share functional algorithms lead to more versatility for developers and more competition in markets. Many attribute the origin of the term “algorithm economy” to Gartner, a company that looks routinely at the current technology landscape to pinpoint evolving trends and likely future advancements. The algorithm economy is one example of a projection from Gartner about how companies will work together on high-tech projects related to software development.