Magnetic reconnection converts, often explosively, stored magnetic energy to particle energy in space and in the laboratory. Through processes operating on length scales that are tiny, it facilitates energy conversion over dimensions of, in some cases, hundreds of Earth radii. In addition, it is the mechanism behind large current disruptions in fusion machines, and it can explain eruptive behavior in astrophysics. We have known about the importance of magnetic reconnection for quite some time based on space observations. Theory and modeling employed magnetized fluids, a very simplistic description. While successful at modeling the large-scale consequences of reconnection, it is ill suited to describe the engine itself. This is because, at its heart, magnetic reconnection in space is kinetic, that is, governed by the intricate interaction of charged particles with the electromagnetic fields they create. This complex interaction occurs in very localized regions and involves very short temporal variations. Researching reconnection requires the ability to measure these processes as well as to express them in models vastly more complex than fluid approaches. Until very recently, neither of these capabilities existed. With the advent of NASA's Magnetospheric Multiscale mission and modern modeling advances, this has now changed, and we have now determined its small-scale structure in exquisite detail. In this paper, we review recent research results to predict what will be achieved in the future. We discuss how reconnection contributes to the evolution of larger-scale systems, and its societal impacts in the context of threatening space hazards, customarily referred to as "space weather." Plain Language Summary In space, huge amounts of energy are released explosively by a mysterious mechanism: magnetic reconnection. Reconnection can abruptly convert energy stored in magnetic fields to energy in charged particles, and power such diverse phenomena as solar and stellar flares, magnetic storms and aurorae in near-Earth space, and major disruptions in magnetically confined fusion devices. It is behind many of the dangerous effects associated with space weather, including damage to satellites, endangering astronauts, and impacting the power grid and pipelines. Understanding reconnection enables us to quantitatively describe and predict these magnetic explosions. Therefore, magnetic reconnection has been at the forefront of scientific interest for many years, and will be for many more. Measuring reconnection is incredibly difficult. However, recently scientists have been able to peek into its machinery. Combining measurements from NASA's Magnetospheric Multiscale mission with supercomputer modeling, scientists have now been able to analyze the inner workings of this elusive mechanism. Even though open questions remain, this new understanding has broad implications. Here, we describe magnetic reconnection, where it plays a role, its impacts on society, and what we now know about it. We point to future research challenges, including implications and the utility of our recently developed knowledge.