The problem with "security in the cloud" is that it's extremely difficult and 99%

is about "do i trust my cloud provider"?

The answer in general to that question should be "absolutely not".

Security costs money, if "the cloud" is going to be as inexpensive as you portray it to

be the first victim will be security.

I predict that "the clould" will lack any kind of real security measures, it'll have some "token security" to blind those that don't know, but giving up local computing will also give up the controll you have about the security.

And there is also the reliability of the cloud itself, not only security, but also stability and uptime.

If i look at Microsoft's own BPOS, i'll have to conclude that even the largest and richest software company of the world is uncapable of running one of the most simplest of services (e-mail) reliably for any period longer than a week or two.