What is Iaido?
Iaido is a Japanese traditional martial art that use katana sword. The significant characteristic of this martial art is the inclusion of techniques that involve rapid katana sword drawing from its scabbard, cutting the opponent(s) in one or two cut, and then re-sheathing the katana sword to its scabbard after the battle is over.
What is the difference between Iaido and Iaijutsu?
In Japanese, 'Do' means 'Way/Path', while 'Jutsu' means 'technique'. Technically, both terms refer to the same martial art, that includes techniques of drawing the katana sword rapidly from its scabbard, cutting the opponent, and then re-sheathing it to its scabbard. The difference between those two terms is in the concept traced back to the difference between 'Budo' (the Way of War) and 'Bujutsu' (Techniques of War).
What is the difference between Iaido and Kendo?
Just like opposite sides of a coin, Iaido and Kendo are from the same source, that is the Japanese traditional swordsmanship.
In Iaido, practice is done by repeating standard series of movement, either individually by using an iaito (a blunt practice katana sword), or by pair, using an iaito for skilled practitioners or bokken (wooden katana sword) for beginner - intermediate practitioners. There is no physical contact in anyway within Iaido practice. So, Iaido practice tends to be more of an art.
In Kendo, part of its practice is being done spontaneously as if doing a free duel sparring. Only that its practitioners are using a shinai (slates of bamboo sword) and a bogu (body protector) so that the physical contacts will not cause any physical injury to its practitioners. So, Kendo tends to be more of a sport.
The difference of practice done in Iaido and Kendo has caused the difference of skills being polished. The way of practice in Iaido polishes its practitioner's skill to perform a cut with a katana sword correctly, efficiently, and effectively, but lacking to train its practitioner's skill to measure and calculate tempo and fighting distance instinctively in actual combat. The way of practice in Kendo polishes its practitioner's skill to measure and calculate tempo and fighting distance to determine when and where is the right moment to cut the opponent, in a real combat, but lacking to train its practitioner's skill to perform a cut with a katana sword correctly, efficiently, and effectively.