Data interchange refers to the process of transferring data between different systems, applications, or organizations. This exchange can occur in various formats, such as XML, JSON, or CSV, allowing diverse systems to communicate effectively. The goal is to ensure that data is accurately shared and understood, regardless of the underlying technology. To facilitate data interchange, standards and protocols are often established. These standards, like EDI (Electronic Data Interchange) or API (Application Programming Interface), help streamline the process, making it easier for different systems to work together. This is crucial for businesses that rely on data sharing for operations, reporting, and decision-making.