Abstract: Growing number of IT industries in the world are fast adopting cloud computing which has created the access needed by users and business organisation to have on-demand access to shared resources and applications online. The developed economies have long embraced the sturdy and cost effective cloud technology into their businesses leaving behind the developing countries who are still struggling to reap the benefits of this technology. The objective of this paper is to highlight the benefits of adopting cloud comput¬ing and highlight the challenges in adopting and utilizing services offered by cloud computing. Recommendations were also made on how ease the adoption of the emerging technology in Nigeria.