CHAPTER 03 · DATA AND COMPUTERS

Algorithm, model and app: what is the difference?

These three words are often mixed up, but they describe different things.

What is an algorithm?

A sequence of steps for solving a task. An algorithm is not necessarily AI.

What is a model?

A trained or designed system that turns input into output. It can be part of a larger app.

What is an app?

A product that combines an interface, a model, rules, data, tools and safety measures.

Why does the difference matter?

Two apps can use the same model yet behave very differently because of their data, tools and limits.

Everyday example: A chatbot is an app. The language model writes the answer. The software around it decides whether it may read a file.

Remember: What a product can do is not always what its underlying model can do.

Reliable sources

Last reviewed 1 November 2026. An explainer, not professional, legal or medical advice. For rules and figures that change, check the official version.