I have been hearing different people saying this in different contexts for quite some time but I still don't quite get it.
I know that compact operators map bounded sets to totally bounded ones, that the perturbation of a compact operator does not change the index, and that the calkin algebra is an indispensable tool in the study of operators in the sense that 'essentially something' becomes a useful notion.
But I still suspect why they are 'small'. Now Connes says they are like 'infinitesimals' in commutative function theory, which makes me even more confused. So I guess I just post this question here and hopefully I can hear some quite good explanations about the reasoning behind this intuition.
Thanks!
It may help to think of the special case of diagonal operators, that is, elements of $\ell_\infty $ acting on $\ell_2$ by multiplication. Here compact operators correspond to sequences which tend to 0, "are infinitesimally small". This is a commutative situation, in which everything reduces to multiplication of functions. So, general compact operators can be called noncommutative infinitesimals.
A shorter explanation, but with less content: every ideal in a ring can be thought of as a collection of infinitesimally small elements, because they are one step (quotient) away from being zero.