A dozen years ago, when I was first investigating functional languages, the distinctions between functional and not were much more apparent. Functional languages had functions as values and parameters, closures — an inline-defined function that captures (closed) context for use in future invocations, and if not outright prohibiting variable updates most of them discouraged programming styles that did variable updates.
Today, most new languages are a thorough mix of imperative, object-oriented, and functional styles. Functions-as-parameters, and closures (or something roughly similar) are as common as the procedural paradigm in the 90’s. However, the one key point that has been largely missed is the discouragement of modifiable variables. The former two styles — imperative and object-oriented — basically require it.
As a result, we’re left with programmers today making a lot of the same non-functional mistakes of years past, and the software is little better for it.
Therefore, my favorite definition of “functional language” is what is more commonly referred to as “pure functional” — languages that do not permit side-effects (state changes). This idea breaks down around the edges of software design, and that’s where a lot of diversity among pure-functional languages can be found, but it is the property that gives the functional style the majority of its benefits.
When we imagine the intricacies around implicitly changing state as part of a computation in systems that are large and separated, I think we should begin to understand why Everything is Functional.