The inline keyword indicates that a function definition should be inserted inline into any code which uses it. Most of the time, this will not have any effect on the type of the function. However, in rare cases, it can lead to a function which has a more general type, since there are constraints which cannot be expressed in the compiled form of the code in .NET, but which can be enforced when the function is being inlined.
The primary case where this applies is the use of operators.
let add a b = a + b
will have a monomorphic inferred type (probably int -> int -> int, but it could be something like float -> float -> float if you have code which uses this function at that type instead). However, by marking this function inline, the F# compiler will infer a polymorphic type:
let inline add a b = a + b
// add has type ^a -> ^b -> ^c when ( ^a or ^b) : (static member ( + ) : ^a * ^b -> ^c)
There is no way to encode this type constraint in a first class way in compiled code on .NET. However, the F# compiler can enforce this constraint at the site where it inlines the function, so that all operator uses are resolved at compile time.
The type parameters ^a, ^b, and ^c are “statically resolved type parameters”, which means that the types of the arguments must be statically known at the site where those parameters are being used. This is in contrast to normal type parameters (e.g. 'a, 'b, etc.), where the parameters mean something like “some type which will be supplied later, but which can be anything”.