"In mathematics, approximation describes the process of finding estimates in the form of upper or lower bounds for a quantity that cannot readily be evaluated precisely"
This process doesn't use upper and lower bounds.
However, it still seems more like approximation than estimation to me because of this:
“Of course,” Variyam said, “if the [memory] is so big that it fits all the words, then we can get 100% accuracy.
It seems that in estimation the answer should be unknowable without additional information, whereas in this case it's just a matter of resolution or granularity because of the memory size.
Anyhoo ...
EDIT: also the paper says "estimate" and the article says both "approximate" and "estimate" at different times so it seems everyone except me thinks it's either an estimation or that estimation and approximation are interchangeable.
Eatimation is a procedure the generates an estimate, which is a kind of approximation, while approximation is a result value. They are different "types", as a computer scientist would say. An approximation is any value that is justifiably considered to be nearly exact. ("prox" means "near". See also "proximate" and "proxy".)
Estimation is one way to generate an approximation. An estimate is a subtype of an approximation. There are non-estimation ways to generate an approximation. For example, take an exact value and round it to the nearest multiple of 100. That generates an approximation, but does not use estimation.
Estimation is the process of estimating. It produces an estimate.
Approximation is the process of approximating. It produces an approximation.
You can also derive adjectives from the verbs as well.
An estimate is an estimated value.
An approximation is an approximate value.
But you’re right that the ‘approximate’ terms make claims about the result - that it is in some way near to the correct value - while the ‘estimate’ derived terms all make a claim about the process that produced the result (ie that it was based on data that is known to be incomplete, uncertain, or approximate)