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ALE-Bench, a new evaluation framework designed to assess Artificial Intelligence (AI) performance in algorithm engineering, particularly for computationally hard optimization problems.

It details the benchmark's design philosophy, emphasizing long-horizon, objective-driven tasks that mirror real-world industrial challenges in logistics, scheduling, and power grid balancing.

The analysis compares AI systems against human experts, highlighting the significant performance gains achieved through iterative refinement and agentic scaffolding, while also identifying the current limitations of Large Language Models (LLMs), such as inconsistent logical reasoning and challenges with long-horizon planning.

Ultimately, the report outlines future research directions, stressing the importance of human-AI collaboration and the potential for automated scientific discovery and algorithm design.