I linked to a post about Picnik on Nashville is Talking the other day, when Brittney was ill, and meant to mention it here as well. I forgot.
Picnik is a simple, elegant online photo-editing service. You can upload photos, but it’s also designed to grab the photos right from your Flickr or Picasa account if you give permission. It won’t put Photoshop (or open-source GIMP) out of business, but for cleaning up or embellishing simple snapshots it is well-designed, effective and easy to use. They will eventually have free and pro accounts, with the paying customers having access to more features than the non-paying customers. For the time being, however, all of the features are free.
Definitely worth a look.