Widget has many meanings. The one we're referring to is this :
Unworkshop screencast on widgets, 7 minutes
Google widgets (for your Google Homepage)
Newsweek : 2007, Year of the Widget
Learning applications: Keep up to date with topics, weather, headlines, journals, etc.
http://www.blogdigger.com/groups/ocs.jsp?id=3524
Page2RSS - Create an RSS feed from any web site
"a service that helps you monitor web sites that do not publish feeds"