Cloud computing, where software applications are hosted online rather than on individual computers, has created new space for investment and innovation, says venture capitalist Ben Horowitz. "Horowitz said there is a parallel to the change that occurred thanks to the PC revolution, which took computing from centralized mainframe computers to the current distributed model. Just as that change required a different networking infrastructure which, in turn, required new types of storage and servers, cloud computing will result in 'a big wave of technological innovation,' Horowitz said."