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In this video tutorial, Phil demonstrates how to clean up text strings by extracting uppercase, lowercase letters, and numbers. He introduces using the text.remove and text.select functions in Power Query, applicable in both Excel and Power BI. Starting with a table of random text strings, Phil explains the process to access Power Query by clicking into the table data and renaming the query to "text_select" (since dots are not allowed in names). To extract all lowercase letters, he shows how to add a custom column named "lowercase" using the code: text.select(column_name, list_of_characters). This technique streamlines text string cleaning efficiently.