Lambda Expression allows you to reduce code compared to anonymous class to pass behaviors to methods, method reference goes one step further. It reduces code written in a Lambda Expression to make it even more readable and concise. You use lambda expressions to create anonymous methods. Sometimes, however, a lambda expression does nothing but call an existing method. In those cases, it's often clearer to refer to the existing method by name. Method references enable you to do this; they are compact, easy-to-read lambda expressions for methods that already have a name.