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In this tutorial, the presenter explains how to use the Replace function in Microsoft Excel. The video emphasizes understanding the function's parameters and practical application. To start, the presenter demonstrates the function by entering it in cell B2. The Replace function allows users to replace part of a text string with a different string. The first parameter required is the "old text," which is the text to be replaced. The tutorial proceeds to explore how to implement this function effectively in various scenarios. Viewers are encouraged to learn by applying the function themselves.