This is genrelly used to describe files being shared over a network, usually over the internet. Popular applications that use file sharing are : MSN messenger, dropbox and hotmail.
Most of the time msn messenger is used to share videos and photos between friends. Hotmail is mostly used to send file attachments, such as documents or presentations.
Dropbox is a file folder, that contains many documents that the user can pick to put onto thier own computer. These files are on a server that can be accessed by anyone( that you give autorisation to), at anytime. Drop box would be the best out of these because of its ease of access.
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