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In this video tutorial on the design of a railway ticket booking system, the presenter discusses key functionalities using the Indian railways system, IRCTC, as a reference. The first functional requirement is the ability to search for trains based on specific criteria, such as the departure and arrival stations. Following the search, the system should display a list of available trains for the chosen route on that day. Additionally, users should have the capability to book tickets, reserve seats, and select the desired class, such as First AC or Sleeper class. The tutorial will delve into these requirements in detail to outline the complete ticket booking process.