Selenium Grid has by far been the most useful component of the Selenium project. It allows parallel testing against various browsers & OS combinations through a Client-Server model. Here, the Server is known as the Hub which has multiple Clients to interact with.
With Selenium Grid, you can connect a server to multiple remote machines which can then be used to run a browser automation script over multiple browsers + OS configurations, simultaneously.
Selenium WebDriver allowed you to directly interact with the browsers through your automation test scripts. Java, PHP, C#, Python, Ruby, Perl, and Javascript are some of the programming languages it supports. The browsers it supports include Mozilla Firefox, Google Chrome version 12.0.712.0 and above, Internet Explorer, Safari, Opera version 11.5 and above, and HtmlUnit version 2.9 and above. As for operating systems, Selenium WebDriver supports Windows, Linux, Mac OS, and Solaris.
Selenium WebDriver is also known as Selenium 2.