Video formats refer to the different ways that video files are encoded and stored. Common formats include MP4, AVI, and MOV. Each format has its own strengths, such as MP4 being widely compatible with various devices and platforms, while AVI offers high quality but larger file sizes. Choosing the right format can affect playback quality and file size. Additionally, video formats can also determine how well a video can be streamed online or shared. For instance, WEBM is optimized for web use, making it ideal for online videos. Understanding these formats helps users select the best option for their needs, whether for personal use or professional projects.