Natural language processing (NLP) plays a critical role in AI development by enabling machines to understand, interpret, and generate human language. This technology facilitates interactions between humans and machines through applications like chatbots, virtual assistants, and sentiment analysis tools. By analyzing text and speech, NLP helps in extracting meaning and context, thereby enabling more natural communication. This capability is essential for enhancing user experiences, improving customer service, and advancing fields such as machine translation and content summarization.