Definition: Cloud computing is a term that applies to applications and data storage that are delivered over the Internet or via wireless technology. The individual user's device (i.e. computer, cell phone, etc.) only provides an interface to interact with the computer programs and data. The programs are run on the service provider's computers and the data is stored where ever the provider deems necessary. This way the applications and associated data are available where ever you have a connection to the Internet or wireless network.
Examples:
Cloud computing allows me to store and share my photos with everyone on Flickr.

