Net Terms Extension In computer operating systems, an extension is an optional addition to the name of a file. It appears as a suffix in the form of ".xxx" where "xxx represents a number of alphanumeric characters. The file name extension serves several purposes. For instance, it allows a file's format to be described as a part of its name, so that users can quickly understand and recognize a particular type of file without having to open it or use it. The extension also helps an application program recognize whether a file is a type that that program can work with. For example, take the file mdevitt.doc. The extension "doc" lets users know that the file is a Microsoft Word document without having to open the file and see what it is. It also lets the Microsoft Word program know that it is a file the program can open and operate with.