The over-the-air (OTA) update feature in MicroPython allows users to update their MicroPython firmware and pull files and folders from an open GitHub repository. This feature is particularly useful for developers who want to update their firmware or pull different files on a remote device without the need for physical access to the device. With OTA updates, developers can easily make changes to their device's firmware and pull new files by simply uploading them to a GitHub repository. This feature saves time and resources while also making it easier to manage the development process.