Its a very useful application to have on your mobile. You can use it to go to links quickly by just scanning a barcode (or more correctly: a matrix code). It is used in advertisement also. Sometimes you will see billboards with a data matrix; they hope that people will scan the code and follow the link on their browser. Of course, the data can be anything, but web links and serial numbers are the most common, as far as I can tell. I downloaded a nice little Firefox add-on which translates links into data matrix form (does QR too), its very useful for not having to type those long web addresses on a non qwerty keypad.
For more info you can search for "QR code" or "Datamatrix". Wikipedia has good articles, with codes you can test. Also nokia has a page which translates strings (and links) to such codes; just search for Nokia Bar Code Reader. And in case you are wondering, the codes scan off an LCD display just fine.
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