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In this video tutorial from WallStreetmojo, viewers are introduced to the REPLACE function in Excel. This built-in function falls under the category of string or text functions, specifically designed to replace characters in a string with new characters. The REPLACE function can be utilized both as a worksheet function and within VBA programming in Excel. The tutorial explains how to use this function, guiding users to replace specific characters in text strings by specifying the old text, character position, and number of characters to replace. Viewers are encouraged to watch until the end for a comprehensive understanding and to subscribe for more content.