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In today's software world, subscription-based software often requires the use of cloud computing.

Yes, that is why I thought it wasn't necessary to qualify the difference. However, things like Adobe Creative Cloud basically phone home once a month to activate the software on your computer. Adobe is making plans to shift to a purely cloud model (internet bandwith requirements permitting)

They are also driving up prices for on-site software as well to motivate people to cloud and it's working pretty well. (e.g. SBS Standard fiasco). Pretty expensive to get onsite email with Exchange now. Nearly 4-5 times the cost.

Sandeep Luthra | LTMedical.net
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