Cloud computing is an internet-based service that provides on-demand access to shared resources, software, and information, evolving from historical concepts of timesharing and networking. Its growth has been marked by key developments such as the introduction of virtualization, the launch of Salesforce.com, and Amazon's elastic compute cloud, leading to various service models like IaaS, PaaS, and SaaS. The advantages of cloud computing include reduced costs, improved accessibility for remote work, and simplified disaster recovery, making it an essential tool for businesses today.