Algorithm Optimization refers to the process of improving an algorithm's efficiency, making it faster or using fewer resources, such as memory. This is crucial in computer science, as more efficient algorithms can handle larger datasets and perform complex tasks more quickly. Techniques for Algorithm Optimization include reducing time complexity, which measures how the execution time of an algorithm grows with input size, and minimizing space complexity, which assesses the amount of memory required. By optimizing algorithms, developers can enhance software performance and improve user experience in applications ranging from machine learning to data processing.