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A microcontroller (also MCU or µC) is a computer-on-a-chip. It is a type of microprocessor emphasizing high integration, low power consumption, self-sufficiency and cost-effectiveness, in contrast to a general-purpose microprocessor (the kind used in a PC). more...

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In addition to the usual arithmetic and logic elements of a general purpose microprocessor, the microcontroller typically integrates additional elements such as read-write memory for data storage, read-only memory, such as flash for code storage, EEPROM for permanent data storage, peripheral devices, and input/output interfaces. At clock speeds of as little as a few MHz or even lower, microcontrollers often operate at very low speed compared to modern day microprocessors, but this is adequate for typical applications. They consume relatively little power (milliwatts), and will generally have the ability to sleep while waiting for an interesting peripheral event such as a button press to wake them up again to do something. Power consumption while sleeping may be just nanowatts, making them ideal for low power and long lasting battery applications.

Microcontrollers are frequently used in automatically controlled products and devices, such as automobile engine control systems, remote controls, office machines, appliances, power tools, and toys. By reducing the size, cost, and power consumption compared to a design using a separate microprocessor, memory, and input/output devices, microcontrollers make it economical to electronically control many more processes.

Embedded design

The majority of computer systems in use today are embedded in other machinery, such as telephones, clocks, appliances, and vehicles. An embedded system may have minimal requirements for memory and program length. Input and output devices may be discrete switches, relays, or solenoids. An embedded controller may lack any human-readable interface devices at all. For example, embedded systems usually don't have keyboards, screens, disks, printers, or other recognizable I/O devices of a personal computer. Microcontrollers may control electric motors, relays or voltages, and may read switches, variable resistors or other electronic devices.

Higher Integration

In contrast to general-purpose CPUs, microcontrollers may not implement an external address or data bus as they integrate RAM and non-volatile memory on the same chip as the CPU. Using fewer pins, the chip can be placed in a much smaller, cheaper package.

Integrating the memory and other peripherals on a single chip and testing them as a unit increases the cost of that chip, but often results in decreased net cost of the embedded system as a whole. Even if the cost of a CPU that has integrated peripherals is slightly more than the cost of a CPU + external peripherals, having fewer chips typically allows a smaller and cheaper circuit board, and reduces the labor required to assemble and test the circuit board.

Read more at Wikipedia.org