Developing webhooks locally using Tailscale Funnel allows you to make your local port accessible on the internet, enabling real-time responses to external events. This is particularly useful when integrating with Twilio's products, such as receiving text messages or phone calls. By setting up a local web server and tunneling it to the public internet using Tailscale Funnel, developers can test and develop webhooks locally without relying on publicly accessible services. The process involves creating a tunnel between the local machine and the Tailscale network, serving a static file over HTTPS, and configuring Twilio's webhook settings to use the tunnelled URL. This allows developers to respond to events in real-time, even when working on their local machine that is not reachable via the internet.