Cloud computing provides on-demand access to shared computing resources like servers, storage, databases, networking, software and analytics tools via the internet. It offers advantages like flexibility, scalability, lower costs and easier maintenance over traditional computing models. There are three main types of cloud computing models - Infrastructure as a Service (IaaS), Platform as a Service (PaaS) and Software as a Service (SaaS). IaaS provides basic computing resources, PaaS adds development tools and SaaS delivers full applications. Cloud models can be public, private or hybrid depending on whether the resources are shared or dedicated. Cloud computing delivers significant benefits to businesses by reducing IT costs and enabling flexibility.