Actually, like I've said earlier, there logically are only two paths:
1)Offer more and more permanent storage, but charge a premium for the storage
2)Limit storage, and push users to iCloud to make $$
I really think Apple's direction is the latter, pushing users to iCloud. It has more maximum profit potential and actually fits into the idea of a continuous ecosystem, where one can access the same file from their iPhone, iPad, or Mac, any time. Plus, Apple's profit distribution last quarter showed that the "Services" category, which includes iCloud, is one of the fastest growing, and already equals the profits from Macintosh computers/iPads.