Lyophilization, or freeze drying, is a process that removes water from a frozen product under vacuum conditions, allowing ice to change directly from solid to vapor without passing through the liquid phase. The process consists of three main steps - freezing, primary drying where ice sublimates under vacuum, and secondary drying to remove residual moisture. Lyophilization is useful for drying thermolabile compounds as it occurs at low temperatures, resulting in a stable dry powder that can be reconstituted for use.