RAM, or Random Access Memory, is a type of computer memory that is used to store data temporarily while a computer is running. It allows for quick read and write access to a storage medium, making it essential for the performance of applications and the operating system. The more RAM a computer has, the more data it can handle simultaneously, which leads to smoother multitasking and faster processing speeds. Unlike hard drives or solid-state drives, which store data permanently, RAM is volatile, meaning it loses its contents when the power is turned off. This characteristic makes it crucial for tasks that require quick access to data, such as gaming, video editing, and running multiple applications at once.