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Abstract: We consider the characterization of entanglement from the perspective of a Heisenberg formalism. We derive an original two-party generalized separability criteria, and from this describe a novel physical understanding of entanglement. We find that entanglement may be considered as fundamentally a local effect, and therefore as a separable computational resource from nonlocality. We show how entanglement differs from correlation physically, and explore the implications of this new conception of entanglement for the notion of classicality. We find that this understanding of entanglement extends naturally to multipartite cases.