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The growth of the cloud suggests consumers are largely unconcerned about losing data or having it compromised as they place their trust in technology giants or smaller companies like Mozy.
King advises caution.
"I do think folks need to keep the limitations of these offerings in mind before they jump in wholeheartedly," he said. "Overall, I suggest that businesses and consumers interested in cloud storage should consider such a service to be like a back-up data center -- a good safety precaution but not a primary storage source. That should continue to reside locally."
The growth of the cloud could also affect phone and tablet manufacturers such as Apple and rival Samsung. Why make devices with variable storage capacity up to 64 GB or higher if people can keep their onboard data to a minimum?
But King said it will be some time before smaller capacity and paid cloud storage becomes a viable business model.
"Remember that one key complaint about the iPad and some other tablets has been the lack of a USB port for easy access to external storage devices," King said. "You can understand why the vendors want to build new revenue streams/opportunities around cloud storage, but it doesn't seem that users are entirely convinced."