If you have a Hotmail, Yahoo! Mail or Gmail email account, then you have used cloud computing. Instead of running an e-mail program on your computer, you log in to a Web e-mail account remotely where the software and storage for your account is on the service's computer cloud, not on the actual hard drive of your computer.

What is Cloud Computing?

Cloud computing refers to anything that involves delivering hosted services over the Internet. The term cloud computing comes from the cloud image used to represent the Internet in commonly used charts and diagrams. Cloud computing networks large groups of servers together via specialized connections. Those specialized connections spread data-processing chores across the connections in a virtual environment, which is then accessible by several users in various locations.

Cloud computing is also defined by a user, or users, having the ability to access resources and services needed to perform duties through the Internet. A service developer will request access from the cloud instead of a specific endpoint or resource. The cloud manages multiple infrastructures across multiple organizations and consists of frameworks overlaid on top of the infrastructures tying them together.

A cloud service has three distinct characteristics different from traditional hosting. One, it is sold on demand, usually by the minute or the hour. Two, it is elastic. A user can have as much or as little of a service as they want. And three, the service is fully managed by the provider.

Why Should You Use Cloud Computing? Large companies need to make sure that all of their employees have the right software they need to do their jobs, so they purchase computers and software to give their employees the tools they require. But instead of installing a suite of software for each computer, cloud computing allows them to load one application. The application will then allow workers to log into a Web-based service which hosts all the programs the user will need and eliminates the need for individual software programs on individual computers.

Here are some other advantages to Cloud Computing:

Data is not confined to a hard drive on one user's computer or a corporation's internal network. Clients can access their applications and data from anywhere at any time. This will become more prevalent as more companies begin to implement flexible office hours for employees opting to work form home on some occasions. Cloud computing systems would reduce the need for advanced hardware on the client side. The cloud system could take care of those needs for you. Cloud computing systems give organizations company-wide access to computer applications. The companies don't have to buy a set of software or software licenses for every employee; the company can pay a metered fee to a cloud computing company. Cloud computing gives companies the option of storing data on someone else's hardware, removing the need for physical space. Corporations could save money on IT support because streamlined hardware would have fewer problems than a network of independent machines. Disadvantages of Cloud Computing?

Despite its popularity, smaller companies using cloud computing applications face may still face various technological hurdles, as well as deeper cultural challenges. With so many Cloud Computing products on the market, it is difficult for some small businesses to find the correct resources to make the appropriate software choices and these decisions can be overwhelming and time consuming for the busy small business owner.Cloud Computing services do cost money and some smaller companies will find that fees can stack up. Some project management tools starts at as little as $24 a month for a basic package. However, over time these users may soon realize they need to upgrade to larger packages to accommodate the needs of their employees and applications. Some programs may end up to be as much as $150 per month.