Cloud Based Storage is such BAD idea. The internet goes down, A LOT. We just had a 37 hour outage. All our phone company would say is, "We are having internet connectivity issues. Thank you for your patience while we work on the issue." This happens often. If my computer could only run when the internet was there I would not be able to do my work. As it is the outages are a royal pain. No they want to put my music on the net so I can only listen when the net is there? Bad idea. Bad.
And your experiences are the same for everyone? In over 10 years of high speed Internet, I haven't had a total of 37 hours of Internet outage.
Cloud based storage is great for backup. I'm not advocating not having physical backups but cheap and/or free cloud storage is definitely an app that no one should be without.
Cloud based storage is great for allowing me to have access to all my content via my iDevices.
The cloud is an excellent extension of your desktop.