Abstract: Dynamic partitioning of cache storage into a plurality of local caches for respective classes of competing processes is performed by a step of dynamically determining adjustments to the cache partitioning using a steepest descent method. A modified steepest descent method allows unpredictable local cache activities prior to cache repartitioning to be taken into account to avoid readjustments which would result in unacceptably small or, even worse, negative cache sizes in cases where a local cache is extremely underutilized. The method presupposes a unimodal distribution of cache misses.