Cloud computing is the services offered to the users over the web on rental basis. Cloud computing is being referred to the accessing and configuring and accessing the online applications. There are some technologies being used for the general understanding of the cloud computing they are: utility computing, virtualization, SOA and grid computing. It provides an advanced virtual space for organizations to deploy their applications or run their operations. In this paper, the issues and the challenges that is being faced by the cloud service providers are being discussed.