To give you my opinion on this topic.
For me personally, your vision of an always connected device is absolutely horrible.
What I love about the S60 phones is their ability to be a "fat client": They have their own processing power, static memory, and connectivity options. Or simpler: an S60 phone can live on its own, doesn't need any computer to be feeded with software or content. Even without network connection it is an useful device, you are able to view and create documents and content (read: video, audio, and of course photos).
That's why I thought Nokia's computer 2.0 campaign is so ridiculous: it only mentioned something the fans of the S60 platform already knew.
It is simply great to use an N-Gage in offline mode just to play a game (I hope the next gen platform can live up to the original). Therefore the app and its data (which in case of a game may be a huge amount of date [anyone wondering about 4Gigs Windows games anymore?]). The data connection via HSPDA or WLAN is nice for downloading the game, but I still want the possibility to play offline.
And also Nokia's OVI portal is another step to create the infrastructure to enable S60 phones to live without any PC. So I think if your smartphone wants to be your personal assistant/companion (even without any nework), it needs a lot of storage. So I am looking forward towards the upcoming 8GB phones.
In contrast, I actually regret the idea of having my data/files transferred via a network. The reason is simple: I don't trust the network carriers, and I don't trust the service providers offering online storage. The strangest thing in my opinion are people creating office docs online: Do they really believe that those online storage do not skim through the data? I even think they have to, since they are responsible for illegal data.
That's why I like my personal storage big, offline and physically only reachable by myself. I don't want my home PC's data being stored online at Google, Apple or Microsoft servers, and I don't want my data being transferred over an connection I can not completely control (yah, I love the good old USB and RJ-45 cables ^^).
The problem is that I have to keep my files synced, but I think that is a minor disadvantage, and it has also an advantage included (read: redundancy).
So I'ld like to hear the other AAS readers' opinion on this topic. Where do you like your data stored? And how do you handle security over-the-air?