Your post reminded me of a great quote:
The factory of the future will have only two employees, a man and a dog. The man will be there to feed the dog. The dog will be there to keep the man from touching the equipment.
Warren G. Bennis
The past 30 or 40 years of IT has been a cycle of centralzing, then distributing computing. We keep trying to balance costs and control against agility and responsiveness. And it crosses all aspects -- hardware, software, programming, and management.
As an industry, we probably need to spend more time considering risks and failure modes. We can't eliminate the human in the equation, so we need to do as much as possible to prevent errors, localize their damage, and have realistic contingencies for when they occur. Finally, when things really go wrong, there needs to be someone taking responsibility and communicating.
I think the cloud has a role, it just isn't clear what that role is. We'll have to endure some hardships during the experimentation.