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The topic discussed in the video is the Statement of Work (SOW) in project management, particularly in relation to PMBOK or PMI. The SOW is a document outlining the terms and objectives of a project or service contract, including deliverables, timelines, and expectations. It serves as a guide for the work to be done between the customer and vendor, defining what tasks need to be completed. It is essentially a document that details the scope of work agreed upon by both parties.