IoT terminology is still evolving, but IoT is generally accepted as the network of smart devices that are able to exchange data autonomously without human interference.
For an IoT-connected device to function properly, it needs several components: sensors to collect data, radio or other digital communication technology to send the data, and software to control or automate the process.
IoT software is the enabling technology that controls data collection and communication on a connected device so it can provide real-time data that computers and applications can transform and present as information.
Some of the real-world applications of IoT devices are in home automation where lighting, heating, air conditioning, entertainment, or security systems can detect environmental input and automatically activate or deactivate.
Another application is in healthcare where smart medical devices can actively monitor patients and automatically alert healthcare providers. Other applications are in personal wearables, transportation systems, manufacturing, and agriculture.