Siping is adding little "slices" to the treadblocks on your tires. This improves thier traction as thier are more gripping surfaces on the tread. It greatly improves wet weather traction as well as traction on snow and ice. If you are only an on road driver, it helps keep the tread cool as well, making your tires last longer.
The downfall, is if you wheel a lot in rock or are a "spirited" driver. Then your tires can chunk as the siping breaks little pieces of tread off.