M3U8 is not a video format itself, but a playlist file based on the HTTP Live Streaming (HLS) protocol. It contains an index of video segments (.ts files) that the player downloads and plays sequentially.
M3U8 vs MP4: Unlike a single MP4 file, M3U8 splits video into many small .ts segments. This enables Adaptive Bitrate (ABR), automatically switching quality based on network speed for a seamless viewing experience.