An IoT gateway is an edge gateway. It is a hardware component or software located at the transition between the core network and the Internet of Things. It ensures smooth data traffic between the smart IoT devices of an Internet of Things (IoT) and the server or cloud.
The IoT gateway is the network component through which all data traffic between the IoT components, usually the many sensors and actuators, and the cloud, is transmitted in both directions. As thousands upon thousands of data per second pass through an IoT gateway, it also handles the pre-processing of the data as an edge device. As an edge server, the IoT gateway captures, analyzes, processes and reduces data at the Internet of Things transition before forwarding it to the cloud. Pre-processing and data reduction can significantly improve response times. In addition, the IoT gateway can perform security functions for the IoT network and data transport.