Utah 2012, a couple of years in the future from when the series was made. The Tardis materialises in the basement of Henry von Statten, millionaire collector after receiving a distress signal. What The Doctor and Rose Tyler discover is that the collector has collected in addition to a Cyberman helmet, a real Dalek. The Dalek doesn't remember The Doctor however after a little reminding, the Dalek remembers the Doctor and starts to attack everyone in the basement. During Roses' encounter with the machine and touched him, this had an effect on the Daleks causing it to malfunction. At the end when the Dalek is defeated, von Stattens mind is wiped and left on the road to fend for himself.
This episode saw the first appearance of the Daleks since the television series returned from its break.