Why Would People Entrust Their Secrets
..to the Telephone Cloud (aka "Public Switched Telephone System") ?
Apparently all sorts of business and private secrets are happily communicated IN THE CLEAR over the telephone system. Mobiles only encrypt until the signal reaches the next tower.
Cloud Computing has so many economic advantages attached to it - think of getting rid of lots of sysadmins and a ton of management headaches - that it must succeed. Hundreds of thousands of sysadmins currently perform the same complex tasks, make the same mistakes and create the same problems in tens of thousands of IT departments.
All of that is much more economically performed by a 1/100 of those people working in centralized Cloud Service Providers. Companies need Email, ERP and Website services, they don't really want to know the nuts and bolts of Exchange, AIX HCMP or the twists of ORANET. Neither do they really want to employ and manage an Oracle DB admin.
Or fiddle with the DLL and Registry Hell of Windoze. All they want is an appliance like the telephone system which is managed by a service provider. Think of the Chrome Browser running Javascript Cloud Apps.