The Jacquard loom is a mechanical loom, invented by Joseph Marie Jacquard in 1801, that simplifies the process of manufacturing textiles with complex patterns. Since it is invented in the year 1801, and has created revolution in clothing sector, I would like to give the title as "Gadget of the year: 1801"

The idea behind the Jacquard-loom was a system of punch cards and hooks. The cards were made very thick and had rectangular holes punched in them. The hooks and needles used in weaving were guided by these holes in the cardboard. When the hooks came into contact with the card they were held stationary unless it encountered one of the punched holes. Then the hook was able to pass through the hole with a needle inserting another thread, thus forming the desired pattern. Intricate patterns were achieved by having many cards arranged one after the other and/or used repeatedly.
References:
http://en.wikipedia.org/wiki/Jacquard_loom