This document discusses Internet of Things (IoT) and smart cities. It defines IoT as interconnected devices that can communicate with each other to achieve common goals. It also defines smart cities as using information and communication technologies to integrate core systems and respond intelligently to various needs. The document outlines technologies used in IoT like RFID and sensors. It describes smart city components like smart communities, smart homes and smart grids. It discusses challenges of IoT like security and privacy and of smart cities like investment and interoperability. It concludes that IoT and smart cities are related areas with opportunities for innovation but also challenges to address.