A FIFO pipe is a "first in first out" pipe handled by the file system. It is also called a named pipe
Essentially, the file system as a record on it that points to a section of RAM that is used to transfer data through between different processes as if it was an actual disk file it was reading and writing from. Of course, there are different behaviours between normal files and pipes, but that's the general idea.
The FIFO, or "first in, first out" is a queue term, which means the first data written to the pipe is the first data read out.
Now, device is a 'device' in your machine that can be specified to write data to or read data from. This can be something like a network device or a capture/display device (such as VIVO video cards). On *nix systems, a device is something you will find in /dev
such as /dev/dvd
for a DVD device.