man ulimit
limit, ulimit, unlimit - set or get limitations on the sys-
tem resources available to the current shell and its descen-
dents
In your current shell this states how many files you can open, max file sizes, etc, etc
See a piece of the manpage below:
-c maximum core file size (in 512-byte blocks)
-d maximum size of data segment or heap (in kbytes)
-f maximum file size (in 512-byte blocks)
-n maximum file descriptor plus 1
-s maximum size of stack segment (in kbytes)
-t maximum CPU time (in seconds)
-v maximum size of virtual memory (in kbytes)
Normally you will not need it, but stuff like Oracle ( because it might need more files open, more memory,etc,etc) can demand it.