The Internet of Things is a world in where consumable items are made with integrated chips know as RFID Tags.
These tags are like barcodes and is full of information i.e what the product is and does and product data that it is collected while the product is in use.
They can connect wirelessly and immediately to the internet via radio frequency and relate and push data out to other sources.

collect data about a walk/ run and push the data out to an ipod. With the real time data the ipod can tell the runner how good the workout is progressing, how far they've run, how quickly and how far away the destination is. On completion, the runner can see how far and how fast they've run as well as learn how many calories they've burned
view statistics about past workouts and set workout goals for future runs.
This is only the beginning of what the Internet of Things can make possible. This type of smart interaction between people and everyday objects also know as Ambient Technology, makes the idea of an interactive fridge a possibility. A fridge that is aware of all the products inside it and can sense what is happening, the freshness, the quantity,and then respond by giving recipe ideas and composing shopping lists. This type of interaction on a basic level means that we wouldn't over buy and we would waste less food. On a larger scale, things would work together to run a house more efficiently and economically.

Internet of Things