IoT is the layer layer of digital technology added atop the objects in this world—smart phones, consumer goods, home appliances, governance tools, office infrastructure, health support, and just about everything. This digital layer is woven together by a smart fabric (say, the World Wide Web and its apps) that adds meaning to this digital layer.
There are chips or codes on the objects. These store information at the most basic level – for example, bar codes or QR codes. These objects store and sometimes also process information; communicate with other devices (machine-to-machine communications); and with smartphones, tablets or other network gateway devices.