Natural Language Processing (NLP) is a field that deals with interaction between computers and humans in natural language. NLP is used to analyze, understand, and generate human language through techniques like morphological analysis, syntactic analysis, and semantic analysis. NLP faces challenges like ambiguity and variability but is used in applications such as healthcare for analyzing medical records and in marketing for analyzing customer feedback. The future of NLP looks promising as it is expected to become more advanced and used in more industries.