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Cloud storage right now have more cons than pros particularly for country like india. Some of major ones are: 1. Internet connection are costly for uploading photos and videos. 2. Security of data that is uploaded is also a big concern for people in India. 3. Lastly limited free cloud storage is another hurdle. No one wants to pay for extra storage when he already had to pay for internet for uploading and downloading data from cloud.
i don't think so as even for cloud storage physical storage is needed somewhere for which you don't know the custodian. it is like giving your personal details to someone for keeping on your behalf and rely on him for retrieval of that data on his terms. companies want to create dependence for their future earnings and hence promoting cloud storage. just now microsoft has reduced the cloud storage facility from 30gb to 5gb for free and once you are dependent on them they can change the terms as per their suitability.