Bubble Tea is a Go library for building interactive terminal user interfaces (TUIs) based on The Elm Architecture. The tutorial demonstrates creating a note-taking TUI application with three core components: a Model that holds application state, an Update function that handles user input and events, and a View function that renders the interface. The example includes SQLite storage integration and uses additional libraries like lipgloss for styling and bubbles for UI components. The architecture promotes modularity by allowing models to contain other models, creating a tree-like structure for complex applications.