I don't care how smart your technology is, representing your product as "infinite storage" is inaccurate and misleading. There is obviously no such thing as infinite storage on a finite device, and saying you don't have to use a "clunky web service" implies it's not a web service, when it obviously is.
I respect their need to find a sexy way to sell a cloud-storage-and-sync product, especially since it's an increasingly crowded space, but this seems a bit sleazy.