Erlang is a functional programming language that was designed for building scalable soft real-time systems with requirements for high availability. It has built-in support for concurrency, distribution and fault tolerance. Erlang was originally developed by Ericsson for telecommunications applications but is now used for other domains like e-commerce and banking. To use Erlang, it needs to be downloaded and installed on the system. Popular IDEs like Eclipse and IntelliJ also provide plugins for Erlang development.