Not a chance we're upgrading to the cloud either.
Baking SkyDrive search spying into the new Windows 8.1, Microsoft appears hell bent on invading our privacy at any cost. Local searches are now sent to Microsoft and shared with third parties, if you didn't know this already. That's by default now in Windows 8.1. I am sure the same issues are going on behind the scenes with Exchange and right now there are backdoors and workarounds within the entire Office 365 and cloud services.
Of course, Microsoft will deny this. I'm sure there are two sides to every story, but I suspect that there are definitely seeds of truth in everything that is being exposed and Microsoft has some very dirty hands in all this. Regardless, the FUD is devastating.