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Kevin demonstrates how to separate first names from last names in Microsoft Excel without using any formulas. He highlights that it is easy and anyone can do it. He proceeds with a step-by-step guide and mentions his employment at Microsoft. Kevin showcases the process on Excel, emphasizing the simplicity of the task despite a large list of names. He explains the columns for first and last names, pointing out the need for separation even in scenarios where the list of names appears straightforward.