The words ‘context’ and ‘awareness’ are two very thick concepts. The idea is the kind of thing that designers are very good at describing in a hand-waving kind of way, but can never really specify clearly when it comes to communicating those rich design ideas to the people who actually build technology, beyond very simple examples like the one below.
“Context-aware computing is different from the simple sensor-based applications seen on smartphones today. For instance, consumers today go to an app like Yelp and search for restaurants nearby or by cuisine and price. A context-aware device would have a similar feature that would know what restaurants you have picked in the past, how you liked the food and then make suggestions for restaurants nearby based on those preferences. Additionally, it would be integrated into maps and other programs on the device.”
Link: How Context-Aware Computing Will Make Gadgets Smarter (wired.com)