XML is widely used for exchanging structured data between different systems and applications. Because it is text-based and platform-independent, it allows data to be shared reliably across networks and between software written in different programming languages.

Example: XML data exchange

<order>
    <id>1001</id>
    <customer>John Doe</customer>
    <total>49.90</total>
</order>

This structure could represent an order transmitted between two systems.