I don't think we can possibly thing that we aren't going to the cloud at some point, but too often, I find that "cloud" is poorly defined.
I'm a greater fan of internal cloud computing (ie Virtualization - VMware, Hyper-V, Xen, etc), but it's difficult to think that some things will not go to the cloud.
One example the Spam filter and a Secure Web Gateway. It's impossible to protect primarily mobile users without sending the traffic through the cloud - we'd have to send them back to the office, then out to the internet - quasi VPN style. I'd imagine that could add some latency and be a bit ridiculous, and incur greater costs in bandwidth at the office.
I think it's unfortunate that 9,000 people are losing their jobs, but in some ways moving to centralized processing and management only makes sense. I like to keep things in house as much as possible, since I think the cloud can present some privacy concerns, but some thing are just going to move that way.