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What is Plasma?
Plasma cutting is a process that is used to cut steel and other metals of different thicknesses (or sometimes other materials) using a plasma torch. In this process, an inert gas (in some units, compressed air) is blown at high speed out of a nozzle; at the same time an electrical arc is formed through that gas from the nozzle to the surface being cut, turning some of that gas to plasma. The plasma is sufficiently hot to melt the metal being cut and moves sufficiently fast to blow molten metal away from the cut. Plasma can also be used for plasma arc welding and other applications.Plasma is an effective means of cutting thin and thick materials alike. Hand-held torches can usually cut up to 2 in (48 mm) thick steel plate, and stronger computer-controlled torches can pierce and cut steel up to 12 inches (300 mm) thick. Since plasma cutters produce a very hot and very localized "cone" to cut with, they are extremely useful for cutting sheet metal in curved or angled shapes.
Plasma cutters have also been used in CNC (computer numerically controlled) machinery. Manufacturers build CNC cutting tables, some with the cutter built in to the table. The idea behind CNC tables is to allow a computer to control the torch head making clean sharp cuts. Modern CNC plasma equipment is capable of multi-axis cutting of thick material, allowing opportunities for complex welding seams on CNC welding equipment that is not possible otherwise.
Source: Wikipedia. Information made avaialable by the CC-BY-SA license.
For more great information, check out "How Plasma Cutters Work" on HowStuffWorks.com. (Valdes, Robert. "How Plasma Cutters Work." 24 March 2004. HowStuffWorks.com.)