^ He's correct. You can also configure thumb drives to boot as a floppy for computers that support that. You can use it to flash BIOS's or Firmware on PCs/Laptops that don't have floppies. Most new Laptops and PCs don't even have floppies now.
And if you want, you can store p... errrr, pics on it. It's also a great way to store files on it that you want to share or install on multiple PCs. I have 4 that I use. One has a physical lock on it, I use this on PCs that may be infected, AV, anti-spy, etc. One on my keychain for docs from work, home, etc. Another for booting and flashing.