Microservices is an architectural style and approach to designing software applications as a collection of small, independent, loosely coupled services that focus on specific business functions. Each microservice is designed to perform a single task or function, and communicates with other services through well-defined APIs (Application Programming Interfaces).

Key characteristics of microservices include:

1. Modularity: Microservices decompose complex applications into smaller, independent services, each responsible for a specific business function or capability. This modularity makes it easier to develop, deploy, and maintain software systems, as changes to one service do not affect others.

1. Independence: Each microservice operates independently of others, with its own database and codebase. This allows teams to develop, deploy, and scale services independently, without dependencies on other services or components.

1. Scalability: Microservices architecture enables horizontal scaling, where individual services can be scaled independently based on demand. This allows organizations to allocate resources more efficiently and handle variable workloads more effectively.

1. Flexibility: Microservices promote flexibility and agility in software development by enabling teams to use different technologies, programming languages, and frameworks for each service. This allows organizations to choose the best tools and technologies for each specific task or requirement.

1. Resilience: Microservices architecture enhances resilience and fault tolerance by isolating failures within individual services. If one service fails, it does not necessarily affect the entire system, as other services can continue to function independently.

1. Continuous Delivery: Microservices architecture facilitates continuous delivery and deployment practices, as changes to individual services can be tested, deployed, and released independently. This enables organizations to deliver new features and updates more frequently and reliably.

1. Polyglot Persistence: Microservices architecture allows for polyglot persistence, where different services can use different types of databases or data storage solutions based on their specific requirements. This flexibility enables organizations to choose the most suitable data storage solutions for each service.

1. Decentralized Governance: Microservices promote decentralized governance, where teams have autonomy and ownership over their respective services. This fosters innovation, creativity, and accountability within development teams.

Overall, microservices architecture offers numerous benefits, including improved scalability, flexibility, resilience, and agility, making it well-suited for building modern, cloud-native, and distributed software systems. However, adopting microservices also introduces challenges, such as managing service dependencies, ensuring communication between services, and monitoring and maintaining a distributed system architecture.