Lambda Architecture is a data-processing architecture designed to handle massive quantities of data by taking advantage of both batch and stream-processing methods. It combines a batch layer, which provides comprehensive and accurate views of data by processing large data sets in batches, and a speed layer, which processes real-time data streams to deliver low-latency updates. The results from both layers are merged to provide a complete view of the data. This architecture is ideal for applications that require both real-time analytics and historical data processing, ensuring accuracy and speed.