The above regular expression creates two captured groups: (.*) as $1
a space (\[.*) as $2
This means:
Search for everything before a space and an opening [ bracket.
Put the content of this leading part into $1
Put the content of the following part into $2
The second part in the regular expression after the comma is the substitution ("replacement"). $1==%title% $2
This means:
Replace the string with the found part in $1,
add ==
add %title%
add a space
add the found part in $2
With the target format string: %artist%==%title%
you fill the content in front of == into the tag ARTIST
you fill the content after the == into the tag TITLE
The == signs are unique dividing characters with a very low risk be found in the content itself.
You could choose whatever you like as dividing characters, as long as they are not part of the content itself.