ISO just stands for "International Organization of Standardization," a body which, among other things, created standard measures for quantifying film's sensitivity to light. ISO numbers on an SLR are "equivalents" and are proportional: an ISO of 800 is twice as sensitive to light as an ISO of 400.
Also (reports my camera manual), a "high" ISO has more "noise" or "grain."
These pictures were taken with variations on ISOs to see effects on picture quality.
Below is an ISO of 200.








