Serverless computing in cloud technology refers to an architectural model where developers can build and run applications without managing server infrastructure. Despite the term, servers are still involved, but the cloud provider takes care of all operational aspects, including provisioning, scaling, and maintenance. This model allows developers to focus on writing code and deploying applications while paying only for the computing resources they use. Benefits include reduced operational overhead, enhanced scalability, and faster deployment of applications. Platforms like AWS Lambda and Azure Functions exemplify this technology.