The Smart Composer plugin enhances writing efficiency in Obsidian by leveraging AI to utilize existing vault content as context for queries. It allows users to reference specific files, folders, and even external resources like websites and images to generate more relevant AI-assisted responses. The plugin features a contextual chat assistant, smart content recommendations, and vault-wide search capabilities to surface relevant notes automatically. Users can apply AI-suggested edits to their notes with a single click and customize prompts for standardized workflows. Smart Composer supports various AI models, including local options for offline use, ensuring privacy and flexibility in content creation.