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I struggle to see who would want streaming, cloud-based iTunes. Storage is so cheap, why not just keep it all locally? I guess you could run out of room on your iPhone, but if that's the case, you've got a LOT of music, and I don't see apple offering 100 or even 50 gb of storage with an online service. Plus, do you really want to lose access to your music when you're away from wifi (laptop, wifi ipad, iPod touch) or out of 3g coverage?
I've never understood why google thinks everyone wants cloud-based everything, and I don't understand why apple is jumping on this bandwagon either. I much prefer having my data stored and secured locally. I have guaranteed access (no downtime, no lack of network connection) and no worries about who has or could get my data (this goes beyond just music). Cloud based means you can access it from anywhere, but so what. Do I really need access to my iTunes from computers other than the ones I own?