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The date picker in Google Analytics is a crucial tool that allows users to select a specific date range for their reports. It is located in the top right corner of the screen and can be used to customize the data shown. By clicking on the dates, users can quickly change the date range to analyze different time periods. The example provided shows how to switch from June 5th to July 4th to June 1st to June 15th. Users can also manually input specific dates by clicking into the date box. This feature helps users to easily access and analyze data within different time frames.