Understanding React Server Components

React Server Components (RSC) are a new type of component that render on the server instead of the client. This means they can access server-side resources like databases directly, without exposing sensitive logic to the browser.

In Next.js, all components in the App Router are Server Components by default. This means you can use `async` components, access the file system, or query a database directly in your component code.

When you need interactivity — event handlers, hooks, or browser APIs — you add the `'use client'` directive at the top of your file. This tells Next.js to treat the component as a Client Component, which runs in the browser.