Spyware:
Software that is installed on a computer to collect information about the user of the computer. This information is then typically transmitted back to the maker of the spyware to be used anaylized, or sold.
Cookies:
Information about the user that s stored locally on the computer. The problems with cookies is generally based on the content that is stored inside them. cookies can contain, websites visited, names, age where you live, zip code, phone number, and oter personal information.