Of course there are issues to consider, and there are many workarounds to those issues, if you deem them to affect you (such as backing up your data from the cloud locally, scaling across regions using cloud management tools like Scalr and Rightscale, etc). Not to mention the built-in tools like Multi-AZ availability and read replicas for Amazon RDS, Elastic Load Balancer and Auto Scaling with Amazon EC2, Latency-based routing with Amazon Route 53, and CloudFront's natural edge locations for caching S3 requests.
There was ONE instance EVER of Amazon terminating an AWS account due to content, and I'm sure you'd agree with the decision - they terminated Wikileaks' account which contained illegally obtained content that put our soldiers and citizens at risk. No "current thinking" (your words, not reflected in actual reality) considers this a threat to their business model. And I count Obama's opponent in the general election an ally in this; as I mentioned earlier, MittRomney.com is hosted by Amazon EC2.
So if the powers that be don't see the benefits in not having to raise $14,000 first before buying a new server, rather than firing one up at peak demand times, or the ability to have incremental backups nightly of static files with unlimited storage space, or the benefits of having fail-over systems in place when hardware fails, or the ability to have point-in-time recovery and snapshots from a GUI for your database, then by all means, discount my advice. Obviously I'm biased by my own personal success story and the peace of mind it has granted me.
But don't you dare attack me with your snide "You might learn something" comment, discounting the past 6 months that I have spent migrating my company to the cloud infrastructure and eliminating a major source of uncertainty in my business, which I mentioned in my original post, so don't feign ignorance.
Once again, unless JimRob has multiple connections to the internet in his basement where he's got his servers housed, he's at the same mercy of his internet providers or the datacenters he currently uses. Nothing changes by switching the infrastructure except the faces of the players. And I'd say Amazon's track record is damn good.
Sure the sales of their (your?) product are doing very well. I’m happy for them. I’ve got nothing against them.
But yes, there are growing doubts about data security on cloud servers.