The technology essential for developing Internet of Things (IoT) applications includes various components such as microcontrollers, sensors, and communication protocols. Microcontrollers serve as the brains of IoT devices, enabling data processing and control. Sensors collect data from the environment, while communication protocols like Wi-Fi, Bluetooth, and Zigbee facilitate data transmission between devices and the internet. Together, these elements create a cohesive network that allows for real-time data exchange, smart automation, and remote monitoring, transforming how we interact with our surroundings.