Cloud Computing refers to programs that are designed to run over the internet. By being installed on a network of "cloud servers" instead of individual computers, these programs can be used by anyone with an internet connection and a web browser. Google and IBM are currently working together on a cloud computing project.
Cloud Computing Service Providers
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"Every decade or so, the computer industry's pendulum swings between a preference for software that's centrally located and programs that instead reside on a user's personal machine. It's always a balancing act, but today's combination of high-speed networks, sophisticated PC graphics processors, and fast, inexpensive servers and disk storage has tilted engineers toward housing more computing in data centers." —Aaron Ricadela, BusinessWeek BusinessWeek: Computing Heads for the Clouds (November 16, 2007)