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The Geocoding API uses a pay-as-you-go pricing model. Geocoding API requests generate calls to one of two SKUs depending on the type of request: basic or advanced.
Just go to Google Maps and type your query into the search bar. Whether it's an address, zip code, or any other type of location, Google will instantly plot it for you. To see a location's GPS coordinates, right click on the map marker. Unfortunately, the free version only lets you geocode one address at a time.
With OSM, map data for the whole planet can be downloaded and used completely offline. Google Maps can only cache small region and generally can not work without an Internet connection. OSM dataset can be used to large-scale geocoding, routing and analysis, which would be impossible using Google Maps.
MapQuest open offers an Open Directions Service and an Open Guidance Service.
Additional information about Routing in OpenStreetMap can be found in the Routing article on the OSM wiki.
Cloudmade's Web Maps API includes a geocoder. The geocoders currently used on OpenStreetMap's main site are Nominatim and GeoNames. There is now also an open geocoding service by MapQuest.
Look at http://openrouteservice.org/. They did routing using OSM already.
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