Fair enough on the million-machine-cloud front, that's not just scaling that's epic scaling, even big ISPs probably wouldn't need that size of cloud. I don't think they should be slated too hard for not making a system that scales that far straight out of the box but the damming part is this...
"... and because his engineers weren't able to submit patches to the open source Eucalyptus project that would have improved its ability to scale."
...if you want serious community support then it has to be as simple as either requesting write access to the source repository or just emailing patches in for maintainers to merge in. I can't imagine there'd be any other excuse beyond plain Fail, if someone with a @nasa.gov email address sends you a patch you aren't just going to file it in the circular file are you?
The fact that it's described as "open core" will give it the whiff of Sugar (CRM) to the hard liners out there who, rightly or wrongly will accuse them of jumping on the open source bandwagon as well perhaps.
A rocky start and now they've got some serious competition in the shape of NASA, I'd be worried if I was them.