In the last few decades, string theory has emerged as the most promising candidate for a microscopic theory of gravity. And it is infinitely more ambitious than that: it attempts to provide a complete, unified, and consistent description of the fundamental structure of our universe. (For this reason it is sometimes, quite arrogantly, called a 'Theory of Everything').
Perhaps the most remarkable thing about string theory is that such a simple idea works--- it is possible to derive (an extension of) the Standard Model (which has been verified experimentally with incredible precision) from a theory of strings. But it should also be said that, to date, there is no direct experimental evidence that string theory itself is the correct description of Nature. This is mostly due to the fact that string theory is still under development. We know bits and pieces of it, but we do not yet see the whole picture, and we are therefore unable to make definite predictions. In recent years many exciting developments have taken place, radically improving our understanding of what the theory is.
