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In this video tutorial, the presenter explains how to hide placeholder text in content control form fields. The placeholder text appears in light gray, prompting users to fill in the field, but it can be distracting. To hide it, the user should enter design mode, highlight the placeholder text including the period, right-click, and select the font option. In the font effects section, there's a checkbox labeled "hidden" that allows the user to conceal the placeholder text. The tutorial encourages viewers to check out the channel’s playlist on creating fillable forms for more insights.