AA1 is an incremental learning algorithm for Adaptive Sefl-Organizing Concurrent Systems (ASOCS). ASOCS are self-organizing, dynamically growing networks of computing nodes. AA1 learns by discrimination and implements knowledge in a distributed fashion over all the nodes. This paper reviews AA1 from the perspective of convergence and generalization. A formal proof that AA1 converges on any arbitrary Boolean instance set is given. A discussion of generalization and other aspects of AA1, including the problem of handling inconsistency, follows. Results of simulations with real-world data are presented. They show that AA1 gives promising generalization.