Microsoft ICE

I played with some 2 years back and I am a bit surprised it is still around, got more functions and it is still free to use. You can download it from
Of course, it is nicely embedded into the Microsoft landscape, it will work only on Windows and requires Silverlight and Photosynth if you want to publish the panorama on PhotoSynth. But you are still free to create panoramas and just save it to your harddisk.

• Download it
  
  
  
• Install and use it (simple workflow)
  
  
  
• Optional download PhotoSynth and publish it
  
  
  
  
  

Remarks:

• I usually dont like solutions that lock you to a specific framework or product, but ICE is a nice simple application with enough functionality for beginners and it allows to save you work as a separate file.
• I dont know why the upload function forces you to upload the un-cropped panorama.

Test Result online: