Unfortunately, the reality is that.... sorry... it's mostly just statistical algorithms based around regression and intermediate calculus. State-of-the-art "deep" neural networks are not really anything like the absurdly parallel, asynchronous biological networks that power our neo-cortex - rather, they're basically an application of matrix multiplication designed to "learn" a function by iteratively minimizing an error value using gradient descent. It's still very unclear what, if anything, this algorithm has in common with how a human brain actually operates. It turns out that these kind of statistical algorithms can work pretty well when you have petabytes of data to learn from. But we're still not anywhere near the unsupervised learning capabilities demonstrated by a human infant.