Cloud computing FAQ #5: Is cloud computing the same thing as outsourcing?
Not really, although the two are sometimes related. Cloud computing is about having computation or storage done remotely, usually by a large, undifferentiated mass of computers. Outsourcing is about having your work done remotely by humans. The two come together, in a way, in certain “crowdsourcing” services, like Amazon EC2, but other than that, they’re usually treated as distinct concepts with a somewhat similar effect.