dex2oat is an on-device compiler suite that converts DEX files generated by the Android compiler into OAT files at install time, which are used by the new Android 5.0 runtime, ART, to enable higher performance by using Ahead of Time compilation instead of the older Just in Time (JIT) used in older versions of Android. It features several backends for the actual compilation and code generators for all platforms supported by Android.
See also the Configuring ART Guide, which is part of the Android documentation, for further details.