HATEOAS (Hypermedia As The Engine Of Application State) is a REST architectural principle where API responses include links to available next actions, not just data. This allows clients to discover what they can do dynamically without hardcoded URLs. Benefits include reduced client-server coupling, easier API maintenance, and improved discoverability. Practical use cases include e-commerce order management, banking APIs, and workflow systems. While not required for every API, it is particularly valuable in large enterprise systems where APIs evolve frequently.

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