Interpolation is a mathematical method used to estimate values that fall between known data points. It involves creating a function that passes through the given data points and allows for the prediction of values at intermediate points. Interpolation can be used in various fields such as computer graphics, signal processing, and scientific computing to fill in missing data, generate smooth curves, or approximate unknown values. There are different types of interpolation techniques, including linear interpolation, polynomial interpolation, spline interpolation, and kriging.