It makes long videos much shorter by cutting out all the filler content (~30% of most videos), and has an option to skip just to the highlight of the video.
For this video, it skips you to 6:52, and within 1 minute you have learned that hydrolysis directly doesn't work due to the salt in salt water, it produces chlorine, and you need to do reverse osmosis first then electrolysis.
It isn't AI... it's just other humans who have tagged and marked the videos - and they have done a pretty good job IMO.