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What is Hardware?
hardware
Machinery and equipment (CPU, disks, tapes, modem, cables, etc.). In operation, a computer is both hardware and software. One is useless without the other. The hardware design specifies the commands it can follow, and the instructions tell it what to do. See instruction set.

Hardware Is "Storage and Transmission"
The more memory and disk storage a computer has, the more work it can do. The faster the memory and disks transmit data and instructions to the CPU, the faster it gets done. A hardware requirement is based on the size of the databases that will be created and the number of users or applications that will be served at the same time. How much? How fast?

Software Is "Logic and Language"
Software deals with the details of an ever-changing business and must process transactions in a logical fashion. Languages are used to program the software. The "logic and language" involved in analysis and programming is generally far more complicated than specifying a storage and transmission requirement.




What is Software?
software
Instructions for the computer. A series of instructions that performs a particular task is called a program. The two major categories are system software and application software. System software is made up of control programs, including the operating system, communications software and database manager.

Application software is any program that processes data for the user (inventory, payroll, spreadsheet, word processor, etc.). A common misconception is that software is also data. It is not. Software tells the hardware how to process the data.

Software is "run." Data is "processed."



Links supporting buying software and hardware:
http://home1.pacific.net.sg/loo/com.html
http://boole.stanford.edu/nerdsheaven.html





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