... For the first time it's fixing all the typos that I make when I accidentally hit the letters x c v n and b instead of the spacebar.

Before, I would typo monkeyvbrains or some other combination of two perfectly good words but with just the barely-missed spacebar between them. And the autocorrect would just choke. But now finally it's doing the right thing.

It's still not swype or blindtype, but it goes a long way towards reducing frustration with onscreen keyboards.

I wonder how complex the algorithm is.

It still doesn't seem to work if one of the two words is "I" though. I just typoed "I wonder" above and it left the letter between them.