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1TB stands for 1 (one) terabyte and it refers to storage. Things you would store are applications (software); media (articles papers, emails, songs, movies, etc). One terrabyte is 1,000 gigabites. 1 gigabyte is 1.000 megabytes. 1 megabyte is 1,000 kilobytes. 1 kilobyte is 1.000 bytes. To give an idea a typical song could take up 100 megabytes or less. A movie could take a gigabyte of storage or more. One terabyte is a lot of storage for a laptop.
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