It's fine as long as it's reliable enough and it works.
It will take a long time till I'm convinced that cloud is better than local storage (for personal usage not business).
But depends what "better" means in the first place. In terms of: reliability, access speed, availability, scalability...
I'm not gonna point this to Microsoft, Google and others that provide cloud storage, but I've seen some example servers and the basic hardware quality: for me, my own computers are better IMO. Treated with care, I know exactly where my drives are. I don't expect this to be the choice for the average man.
But in a cloud you don't even know exactly where your files are. They are there, virtually, when you click on them.
Here follows my view on the situation, it should be self-explanatory.
This is Bessy in grandma's field:
Compare her with the local disk in your computer, or your good ol' external disk.
You know the location, the contents, file-system and OS.
And this is industrial cow farming, just a small cluster from the whole pack:
Compare this with the storage drives in cloud servers.
Can be anywhere, mostly on cheap locations, mass-production is the key.
So, where is your data actually? South America, India, US... or split across all locations...
Don't really care because it's there when you need it! Right?
Everyone uses what he trusts or works best for them. I just added my view on the matter.
I don't trust the cloud with sensitive data but I use it for general purposes since it found its way in all daily services (it's omnipresent).
Cheers
Hopachi