Artificial Intelligence is at the core of IoT devices. The IoT consists of multiple components: sensors, a cloud component, data processing software, and cutting-edge user INTERFACES.   

IoT SYSTEMS consist of sensors/devices connected to the cloud VIA some form of connectivity. A Raspberry Pi equipped with a quadcore processor can be used as an "Internet gateway" for IoT devices. It is a card-sized COMPUTER using which you can control outputs with GIPO (general purpose input/output) pins as well as collect data about real-world conditions using sensors. A sensor gathers live data from the surrounding environment and sent to a cloud infrastructure. Once the data reaches the cloud, the software can process it and decide what action to take, such as sending an alert or automatically adjusting the sensors/devices without user intervention.

A user interface is used if user input is required or if they want to check in on the system. Adjustments made by the user are then sent inversely through the system - from the user interface to the cloud, and from the cloud BACK to the sensors/devices to make changes. As a result, a highly reactive and intuitive device is created which greatly increases automation.