It's not your fault you're confused: the definition of IoT varies. In industrial contexts, IoT retains more of its original meaning, that physical objects be given a unique identifier thus making them addressable. It was said to be "[like the] Internet, [but for] Things".
Think of boxes with RF tags on a shelf in a warehouse. Each RF tag is unique, so each box is addressable. However, they are not connected to a LAN or WAN, and might only be read as they pass along the 'Goods Out' conveyor belt.
'IoT' has also been coopted to mean 'cheap, poorly secured tat that is unnecessarily connected to a remote server', which is a different concept.