Networks allow devices like hosts, servers, PCs, and MACs to connect and communicate via networking components like switches and routers. They enable applications for email, databases, unified communications, file/web services, and network storage on devices like NAS and SAN systems. Applications are categorized as batch, interactive, or real-time depending on factors like bandwidth needs, response times, and latency tolerances. Key considerations for networks include availability, scalability, reliability, security, speed and cost.