What a load of cloudwashing

The concept of cloud computing is quite simple on the surface and is already familiar to most of us through web-based services such as Google Docs and flickr. I came across a simple definition on Wikipedia:
"Cloud computing provides computation, software, data access, and storage services that do not require end-user knowledge of the physical location and configuration of the system that delivers the services...cloud computing describes a new supplement, consumption, and delivery model for IT services based on Internet protocols, and it typically involves provisioning of dynamically scalable and often virtualized resources. It is a byproduct and consequence of the ease-of-access to remote computing sites provided by the Internet. This may take the form of web-based tools or applications that users can access and use through a web browser as if they were programs installed locally on their own computers."

Easy, right? But dont get too comfortable with that concept just yet, as the real question is how cloud computing will develop and be utilised - the more complex side of the coin involves application of the model to the future of computing both personally and for organisations such as libraries. Having all of our data in the cloud would have rammifications. The benefits of cloud computing for organisations are found in (a) it's economy of scale and (b) it's accessibility - web-based applications/tools can be used across lots of devices including laptops, desktops, smartphones, etc. which allows(please excuse irritating buzz words)the sharing/networking of different types of data. All while cutting down on the amount of work/maintenance/network-building that the organisation has to do. So far so good.
The obvious problem with external management of an organisation's data lies in the security issues inherrent in that model. Which is not to say that it would be necessarily insecure, but it is certainly a key concern. If you have sensitive information on the internet...it ain't safe. The solution probably lies in standardisation between operators and providers and international legislation. I can understand why the computing industry (IBM, Google, Apple,etc.) is racing to stake a claim in the cloud and companies are busy "cloudwashing" their products, but it probably makes sense for most organisations (and individuals) to play the waiting game and see which providers emerge with the best all-in-package and most water-tight security; until standards are set and you will be able to change providers easily, should you wish to. All that... and then maybe I like having a hard-drive:)