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The phrase Internet of Things (IoT) heralds a vision of the future Internet where connecting physical things, from banknotes to bicycles, through a network will let them take an active part in the Internet, exchanging information about themselves and their surroundings. This will give immediate access to information about the physical world and the objects in it--leading to innovative services and increase in efficiency and productivity. This paper studies the state-of-the-art of IoT and presents the key technological drivers, potential applications, challenges and future research areas in the domain of IoT. IoT definitions from different perspective in academic and industry communities are also discussed and compared. Finally some major issues of future research in IoT are identified and discussed briefly.