This is how cloud computing edges out other hosting services being offered by different hosting providers firms in Australia. A web hosting services include shared hosting, reseller hosting, dedicated server hosting, virtual private server hosting and cloud computing.
Cloud computing is certainly shaping up to dwarf other hosting services. I'm not so sure that business will flock to it. Sure a start-up could gain all the benefits you mention but they need to consider ramifications for IP protection and possible ownership claims by hosts. More established business would love cloud computing but I bet they'd rather host the cloud themselves rather than farm it out, and for the same reasons IP, ownership as well as control.
On the plus side, the cloud will definitely appeal to the same millions that are attracted to social-media sites and for the same reasons that draw them to social media sites. Still millions more home/mobile users will like it for the benefits you mentioned.