I have a set of xyz coordinates for points distributed on a arbitrary 3D surface.(about 50000) I need to group these points in to 10 domains each containing approximately 1/10th of data points according to spatial proximity. Basically 10 surface patches on the surface. Thanks.
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Looks like you want a clustering algorithm.
I has luck with k-means++ before.
See http://en.wikipedia.org/wiki/K-means_clustering for the k-means algorithm
and http://en.wikipedia.org/wiki/K-means%2B%2B for the k-means++ variants.