Before ExtensionKit you could only make app extensions to extend the functionality of Apple provided systems. Things like authentication, file sync and badging in the Finder, Xcode text editors, or Final Cut Pro editing extensions. With ExtensionKit you can make your own extension points and let people develop extensions for your apps on all Apple platforms.
The code editor Chime just released extension support in their 2.0 release if you are on macOS 13. They have a lot of good details on how the implemented the feature on their blog. https://www.chimehq.com/blog/extensionkit-intro