Data annotation is the process of adding labels or tags to raw information so that machine learning models can understand it. data annotation is commonly used for images, text, audio, and video datasets. For example, an image can be labeled as a car, person, or road sign before being used to train an AI system. Accurate labeling helps improve model performance and reduces errors during training. It is especially useful in areas such as computer vision, natural language processing, speech recognition, autonomous vehicles, and other AI applications.