As a side note, service, factory, and value are all derived from provider.

provider explain 1

// Source: https://groups.google.com/forum/#!topic/angular/hVrkvaHGOfc
// jsFiddle: http://jsfiddle.net/pkozlowski_opensource/PxdSP/14/
// author: Pawel Kozlowski

var myApp = angular.module('myApp', []);

//service style, probably the simplest one
myApp.service('helloWorldFromService', function() {
    this.sayHello = function() {
        return "Hello, World!"
    };
});

//factory style, more involved but more sophisticated
myApp.factory('helloWorldFromFactory', function() {
    return {
        sayHello: function() {
            return "Hello, World!"
        }
    };
});
    
//provider style, full blown, configurable version     
myApp.provider('helloWorld', function() {
    // In the provider function, you cannot inject any
    // service or factory. This can only be done at the
    // "$get" method.

    this.name = 'Default';

    this.$get = function() {
        var name = this.name;
        return {
            sayHello: function() {
                return "Hello, " + name + "!"
            }
        }
    };

    this.setName = function(name) {
        this.name = name;
    };
});

//hey, we can configure a provider!            
myApp.config(function(helloWorldProvider){
    helloWorldProvider.setName('World');
});
        

function MyCtrl($scope, helloWorld, helloWorldFromFactory, helloWorldFromService) {
    
    $scope.hellos = [
        helloWorld.sayHello(),
        helloWorldFromFactory.sayHello(),
        helloWorldFromService.sayHello()];
}​

provider explain 2

provider.service = function(name, Class) {
  provider.provide(name, function() {
    this.$get = function($injector) {
      return $injector.instantiate(Class);
    };
  });
}

provider.factory = function(name, factory) {
  provider.provide(name, function() {
    this.$get = function($injector) {
      return $injector.invoke(factory);
    };
  });
}

provider.value = function(name, value) {
  provider.factory(name, function() {
    return value;
  });
};