The difference between cloud storage and local storage lies in how data is stored and accessed. Cloud storage involves saving data on remote servers managed by third-party providers, allowing users to access files from any device with an internet connection. This offers benefits such as scalability, automatic backups, and collaboration features. In contrast, local storage refers to saving data on a physical device, such as a hard drive or USB flash drive. While local storage provides direct control and faster access speeds, it has limitations in terms of accessibility and vulnerability to hardware failures. Each storage method has its advantages and is suited for different needs.