What is Cloud Storage?

Cloud storage is a system of information management where files get stored remotely instead of locally. This includes software, personal information and media files. All the things that are regularly stored on a computer would be stored elsewhere, "in the cloud.” Ideally, this means that the files would be accessible from any location instead of just on that single device.

The benefits of cloud computing
A business that needs the use of certain software in order to do commerce would be able to subscribe to it and use it remotely rather than download and install it. Files would be stored on the computers of the storage provider rather than on in-house computers. This would bring the cost of software down as the business could "share tenancy" with other businesses, which would effectively divide the cost of computing and storage services between multiple businesses. It would also eliminate the need for an in-house IT department to constantly manage and upgrade local housed equipment. The need to back things up would be greatly reduced as everything would, effectively, be backed up elsewhere. For an individual it would mean that they could access everything that is presently being stored on their home computer from any location.  Media files or an address book could be accessed from a mobile phone, for example. A computer would serve only as a means for accessing the remotely stored data, rather than as a host for it. 

Potential problems with cloud storage
Cloud storage places the information under the complete control of the company that provides the storage services. It would be the company's information to withhold or peruse as they wanted. This is being downplayed as a minor consideration, but it means that no longer would anyone own or control a piece of software. Another consideration having to do with cloud computing is privacy: if one person can access information remotely then so can other people, at least in theory. The consequences of hacking (and the rewards of doing it) would be greatly increased. Another problem would be that a service provider going out of business, or one that is having technical problems, could cause major issues for the multiple businesses and individuals whose services they host.