The advent of the digital era, the Internet, and the development of fast computing devices that can access mass storage servers at high communication bandwidths, have brought within our reach the world of ambient intelligent systems. To provide users with information, communication, and entertainment at any desired place and time in an intuitive, efficient, and effective way requires system intelligence that is generated by smart algorithms. The need for such algorithms, which run on digital platforms that are integrated into consumer electronics devices, has strengthened the interest in computational intelligence. This volume is the outcome of a series of discussions at the Philips Symposium on Intelligent Algorithms, which was held in Eindhoven on December 2002. It contains practical examples from this newly developing research field, which can be positioned at the intersection of computer science, discrete mathematics, and artificial intelligence. The examples include: machine learning; content management; vision; speech; content augmentation; profiling; music retrieval; feature extraction; audio and video fingerprinting; resource management; multimedia servers; network scheduling; and IC design.