Microservices architecture is a way of developing software systems that focuses on building small, modular components, or services, that work together. Each service is designed to perform a specific business function and can be developed, deployed, and scaled independently. This architecture allows for greater agility and flexibility in software development as teams can work on different services simultaneously and choose the best technologies for each service. Microservices communicate with one another through well-defined APIs, often using lightweight protocols like HTTP/REST or messaging queues.