What does it do? I read that it downloads things from Stdin, but where do you actually need it?
Conclusion
some_program | wget -i - -P ./directory
wget gets urls as Stdin from some_program. The input will result in output generated by wget to ./directory.
wget -i ./file
The above command gets urls form ./file, and it generates output to the current directory. The crux difference is the lack of - sign to the above command.