The significance of the Treaty of Tordesillas, signed in 1494, was that it divided the newly discovered lands outside Europe between Spain and Portugal. This treaty aimed to resolve disputes over territorial claims in the New World, granting Portugal control over Brazil and Spain over the majority of the Americas. The agreement impacted the dynamics of colonialism and shaped the linguistic, cultural, and political landscape of Latin America. The treaty established a precedent for European powers to negotiate territorial boundaries, influencing global exploration and colonization for centuries to come.