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In this video tutorial, the speaker covers the process of compiling an NFT smart contract in Google Colab using Python. Before this, dependencies were installed and a Solidity NFT smart contract was built from scratch. To compile the smart contract, one must copy it, create a new code cell in the Colab project, and use the compile source function. This function requires a multi-line string with the smart contract pasted inside. The compile source function is imported from the Solidity Compiler x for Python and the output can be saved in a variable called 'comp'.