Window functions are a powerful tool in SQL that lets you perform calculations across a set of rows related to the current row, without grouping the data. Unlike aggregate functions, which summarize data across groups, window functions operate on a window of rows, which can be defined by partitioning and ordering. This allows for more complex analyses on individual rows while still leveraging the power of SQL. For example, you can calculate the average sales for each region, but also the running total of sales within each region. This is useful for tasks like identifying trends, calculating moving averages, and creating rankings. Window functions are particularly useful when you need to perform calculations that involve multiple rows but don't want to group the data. They are a key component of analytical SQL, enabling a wide range of data analysis tasks.