Java ME (Micro Edition) is a version of Java for small devices like mobile phones and PDAs. It has configurations like CLDC (Connected Limited Device Configuration) and CDC (Connected Device Configuration) that provide subsets of the Java SE API optimized for these devices. Popular profiles that extend the configurations include MIDP (Mobile Information Device Profile) for mobile phones. Java ME provides capabilities for multimedia, connectivity, gaming, personal information management and more. It offers benefits like portability, consistent user interfaces, security, network support and reduced development time compared to other platforms.