What Is 'The Cloud'? A Plain-Language Breakdown of How It Works

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The cloud refers to computing infrastructure — including processing power, storage, and networking — hosted on remote servers and rented over the internet. Before cloud computing, companies had to buy and maintain expensive physical servers on their own premises, which was costly and difficult to scale. Cloud providers replaced that model with a pay-as-you-go approach, letting businesses access exactly the resources they need without owning hardware. The three major cloud providers dominating the market are Amazon Web Services, Microsoft Azure, and Google Cloud, with AWS being the largest since its 2006 launch. Everyday services like Google Drive and Netflix are all built on combinations of these cloud infrastructure components.

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