Apache Pig is a platform for analyzing large datasets that operates on top of Hadoop. It provides a high-level language called Pig Latin that allows users to express data analysis programs, which Pig then compiles into MapReduce jobs for execution. The main components of the Pig architecture are the Pig Latin parser and optimizer, which generate a logical plan, and the compiler, which converts this into a physical execution plan of MapReduce jobs. Pig aims to simplify big data analysis for users by hiding the complexity of MapReduce.