Many advantages of cloud computing is making it popular day-by-day. The few listed advantages are such as high performance, pay per use modules, and high level of security and so on. Simple networking applications are the parent of cloud industry. Concepts such as grid cluster and utility computing helped in the formation of basic infrastructure as a service concept. Concurrent and parallel processing with a SOA (Service Oriented Architecture) set a platform for virtualization of resources making cloud computing come into reality.