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Keep getting confused about these two. Anyone care to explain the difference(s)?

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Webservices are general term. They describe applications that return response to requests over web. These responses are usually something else than HTML.

SOAP is specific way to make a webservice. It usually consists of complex request and response objects, usually in form of XML files. Compare to REST, where requests and responses are usually simple, uses existing HTTP infrastructure and is generally using JSON files.

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    REST is also a pretty generic term. It's not a type of webservice or necessarily tied to the web at all. – ConditionRacer Nov 1 '12 at 20:34

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