What the title says.
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In an ideal world, both you and your opponent have an equal chance of winning. Skill based matchmaking tries to implement this by matching people who win more often with other people who win approximately as often. When the system works properly, both you and your opponents enjoy a close match where you both have a roughly 50% chance of winning.
This is a particularly good system for new players, as anybody who lived in the age before matchmaking could tell you. The experience of hopping into a multi-player lobby for the first time only to get paired with some dude with thousands of hours in the game is a very good way to convince people not to play the game. Some higher skilled, but not particularly competitive, players miss the days where they could experience being better than the average person by stomping people less experienced than them into the dirt. While this can be fun for them, it is terrible for the long-term health of any multi-player game.
Many people also complain that the skill based matchmaking in a particular game isn’t functioning as intended. Their experience might be that they get matched into games where they alternate between stomping and getting stomped by opponents, getting them to that 50% winrate but not actually achieving the competitive games the matchmaking is intended to achieve. Others, usually incorrectly, believe that where they are placed in the ranking is incorrect and that they should be placed at a much higher skill level than the system has determined, a situation they might describe as “ELO Hell.” (ELO being the system that many skill based matchmaking systems are broadly based off of) These players are typically completely delusional but frustrated nonetheless.
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