This document discusses ITIL (IT Infrastructure Library) in the context of cloud computing. It defines cloud computing according to NIST and Gartner. It then summarizes the key processes in ITIL v2 and v3 and how they relate to service management. The document notes that core IT management disciplines have not changed with cloud computing and discusses how service strategy, design, transition, and operation apply both on-premises and in the cloud. It also outlines some challenges and risks of cloud computing like security concerns, lack of standards, legal issues, lack of SLAs, and performance concerns.