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In this video, the tutorial demonstrates how to rotate text in Google Sheets to make columns more narrow and fit text inside cells. The default setting is horizontal text, but the tutorial shows different ways to rotate text. For example, in a sales data spreadsheet with months across the top, the text can be rotated to fit the columns without expanding them. By selecting the range of cells and using the rotate text function, the months can be displayed vertically to accommodate the data below.