Congestion deteriorates the network performance. In this paper various congestion control AQM algorithm are analyzed and surveyed with their shortcomings and their advantages. The main objective of the paper is to study existing AQM algorithm and develop a new AQM algorithm that gives better result than the existing algorithm. AQM are the router based mechanism for early detection of congestion in the computer network. The basic idea of AQM is to sense and detect congestion in advance and to inform the sender to reduce its sending rate, thereby reducing the number of packets sent in the network and control the congestion. There are several AQM algorithms that controls the congestion. In this paper, we have surveyed, compared and analyzed Random Early Detection (RED), Flow Random Early Detection (FRED), Stabilized Random Early Detection (SRED), Stochastic Fair Queuing (SFQ), Random Exponential Marking (REM), BLUE, Stochastic Fair BLUE (SFB) AQM algorithms. Performance parameter are tested and evaluated in NS2 simulator. After analyzing it was found that RED AQM compared with SFQ and REM achieved best result in terms of delay. SFQ had minimum average ratio and RED had max loos ratio. REM algorithm showed the best result with respect to throughput loss ratio and link utilization. Improvement: After analyzing and comparing several AQM algorithm it was found that no single algorithm can solve all the problems. Hence a research is needed to develop a new AQM algorithm that has good link utilization, is fair enough, has less loss ratio, require less space and easy for configuration