The format is designed for Kodak cameras to store uncompressed RAW images in their original form without auto color and white balance correction. The file has a TIFF-structure that allows you to edit the color temperature and exposure of the finished image without losing information and quality, which is something that cannot be done with JPEG format images.
This format is used to store small personal icons. It is used in website development to create favicons that are displayed in the address bar of the web browser as well as in satellite TV for identifying broadcast channels. It is very similar in structure to a GIF format image.