What does iCloud do exactly?

I want all my photos on my iPod touch get on to my new iPhone and I want to know if I get more storage for iCloud can I have all my photos to my iPhone.

You get 5 GB of storage by default, it should be enough to transport pictures from one to the other

Turn on Photo Stream on both devices and it will make all your pictures available to all your devices. The photos are only stored in iCloud for thirty days so that you can transfer then elsewhere it is not a permanent storage option and does not count against your iCloud storage so you do not need to add more storage to iCloud.

http://www.apple.com/...aring.html

http://support.apple.com/.../kb/HT4486

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