Heaps of music-streaming apps already exist for the iPhone, but Cloud Music has one novel selling point: you upload the music files to Google Docs, and then stream the songs from there. Docs is not just for word-processing anymore, remember?
MP3, MP4 and WAV files are supported by the app, which was only released yesterday to the App Store. If you're wondering how Google Docs enables the upload and streaming of music files (here you were thinking it was just a free Word and Excel replacement!), it's down to Google opening up the types of files that are allowed to be uploaded - virtually any form of media is now supported, such as movies, photos, music and ZIP files. Only 1GB of non-Google Docs files can be stored for free (with each file being below 250MB in size), but for each additional GB uploaded you'll be charged 25 cents each year.
Cloud Music also displays album art (if you upload it to Google Docs, that is) and can play music shared between friends. The app itself costs $2.49, and that music-sharing feature alone is well worth the money in my eyes. Let's just wait and see how long that feature survives for though. [iTunes via Music Ally]