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In this tutorial, the presenter explains how to use the Replace function in Microsoft Excel. The video outlines the function's parameters and provides practical application examples. To start using the Replace function, the user is instructed to enter "REPLACE" in a cell. This function allows the user to replace part of a text string with another string. The first parameter required is the old text, which is the existing text from which a replacement will be made. The tutorial aims to guide users in effectively implementing the Replace function whenever needed.