Cloud computing helps eliminate the need for hardware, software, servers, staff and all other necessary components to create applications needed. Instead, you can buy into the cloud when you need to and for however long you need, whether it be by the minute or the hour. This makes the security and management of the applications worry free. You are buying into an application that can then be customized by you whenever you need and is ready for use when you're finished and only you and whoever you want to can use your customized version of that application. Using e-mail is also a form of cloud computing as the e-mails sit on a server somewhere else, which is not usually in the home.
Here is a video explaining more about the benefits of cloud computing:
Here are a couple of links if you would like more information on cloud computing:
http://www.salesforce.com/cloudcomputing/
http://communication.howstuffworks.com/cloud-computing.htm
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