Picnik uploads photos in a variety of ways: from a computer, through a url, through a flickr or yahoo search, or even through a webcam.
Then do whatever you want with the photo: self-adjust, size, rotate, cut, color shade, contrast, etc. Once you're done, you can save your photos to flickr,photobucket, and other online albums. Of course, you can also download photos and email them to friends.
The advantage is that the whole flash process is convenient, fast and thoughtful. I like its design and experience very much; The downside is that it seems you can only upload or edit one photo at a time!