"The cloud" and "cloud servers/hosting" are different things.
The thing everyone knows of "the cloud" is just marketing for thier services that are based off of cloud servers.
cloud servers are redundant, fault tolerant, scalable, and elastic server architecture that is very good. based of concepts such as grid computing, clustering, etc...
Now people are starting to hate both. which is unfair. they see cloud hosting (which is alike to a VPS or Virtual Private server--->just with better architecture) and are scared from it, when the hosting architecture isn't bad it's the few services like amazon, icloud and google that are altering people's perception.
now back when we had idrives, xdrives, and stuff like that people weren't as scared.... even though they used the same technology to do it, just not marketed as this "cloud" thing.
all the sudden when you put the cloud spin on it it scares people. wow.
I think people are very brainwashed when it comes to cloud computing. the only difference it has is slightly different architecture, and a different market spin.
cloud hosting is actually a very good thing. it is easier to provision and more reliable.
wikipedia has a little primer here
so don't let amazon and apple scare you from this awesome hosting technology. It will actually do the world some good.