i have never used ruby before, but i was wondering if someone would be nice enough to tell me what it is used for.
I am guessing that it is a server side site programming language, as PHP and ASP are, but why is it its own language?
Ruby is a scripting language, like Python or Perl. It's used server-side, most frequently as part of the Ruby on Rails and Sinatra frameworks, but can also be used for writing scripts to run locally.
I dont beleive I have ever seen any life examples and only heard of faint discussion on people using it?
Twitter was originally built in Ruby on Rails, as was Hulu. All the 37signals apps (basecamp, highrise, etc.) are built in Rails, so are GitHub, Shopify, getSatisfaction, and tons of other high-profile sites.
Is it out of date or does it only compile on certain server or is there some specific things that only Ruby can achieve?
Definitely not out of date, it's under active development. It's interpreted, so it doesn't compile at all (like PHP). I don't think there's anything that only Ruby can achieve (other than making programmers happy )
In other words, what makes Ruby, Ruby? and why would one chose to programme in Ruby?
Most people who like ruby like it because it has very short and readable syntax (compared with the more spaghetti-like PHP), and because it's purely object oriented: everything in Ruby is an object, and behaves like an object.
Many of the key selling points are summarized on the Ruby site's about page:
Hope that helped! Let me know if you have more questions!