Electron allows developers to build desktop applications using web technologies like HTML, CSS, and JavaScript. It combines the Chromium rendering engine and Node.js to package web applications into installable desktop apps. Some key benefits of Electron include the ability to reuse code and resources from web apps, access native system features through Chromium, and distribute apps through auto-updating. While Electron provides rich functionality out of the box, apps may have higher memory usage than traditional desktop applications due to running the full Chromium engine.