So what exactly is the difference between these two services?

FolderShare

FolderShareTM allows you to create a private peer-to-peer network that will help you to synchronize files across multiple devices and access or share files with colleagues and friends. You no longer need to send large files via email, burn them to CDs/DVDs and mail them, or upload them to a website. FolderShare allows you to share and sync important information instantly with anyone you invite, making it the perfect solution for personal or small business use.

How can I use it?

  • Synchronize all your devices – Retrieve work files at home or access photos at work. With your devices in sync, you no longer have to be frustrated that your information is on another computer.
  • Share files, photos, and home videos with your peers – Select the content you want to share, invite members, and they will be able to access the shared files directly from their device.
  • Access your computer or device remotely – FolderShare mobile access allows you to access your computer from any web browser.

Any restrictions? We’ll let you decide…

  • Share files up to 2 GB in size
  • Unlimited file transfers – no limits on quantity or size of files transferred
  • Any file type – files are synced and transferred in their original format

How much does it cost?

FolderShare is now free of charge.

SkyDrive

When you sign in to Windows Live SkyDrive, you’re in charge

For each folder you create, you choose who has access to it. Add new folders, rename them, or change who has access at any time.

Always where you need them

  • 1 GB of free online storage, available from any computer with Internet access.
  • Create personal, shared, and public folders — you decide who has access to each folder.
  • Windows Live SkyDrive works well on any Windows or Macintosh computer with Firefox 1.5 or higher, or Internet Explorer 6 or higher.

How we help protect your files

  • Your personal folders are password-protected with your Windows Live ID, so only you have access.
  • When you create a shared folder, the friends you’re sharing with need to sign in with their own Windows Live ID and password.
  • Just like at your online bank, all file transfers are protected using Secure Socket Layers (SSL).

Personal

  • Use personal folders to back up important files that are only for you.
  • Get to your files from any computer with Internet access by signing in with your Windows Live ID.

Shared

  • Shared folders make it easy to collaborate with coworkers or classmates.
  • You decide how much control each person has over each shared folder. Some can just read what’s there: others can add and delete files.
  • Everyone who is sharing uses their own Windows Live ID.

Public

  • With public folders, anyone on the Internet can view your files, but they can’t change them.
  • Want to show your public files to others? Just send them a link! Each folder and file has its own web address.