Impala is an open source SQL query engine for Apache Hadoop that allows real-time queries on large datasets stored in HDFS and other data stores. It uses a distributed architecture where an Impala daemon runs on each node and coordinates query planning and execution across nodes. Impala allows SQL queries to be run directly against files stored in HDFS and other formats like Avro and Parquet. It aims to provide high performance for both analytical and transactional workloads through its C++ implementation and avoidance of MapReduce.