Absolutely.

I can't believe so many replies are struggling with the easy answer: privacy, security, "local first", "open source", "distributed", "open format" etc etc etc are developer goals projected onto a majority cohort of people who have never, and will never, care and yet hold all the potential revenue you need.

Is local-first bad / more difficult for collaboration because of conflict resolution? (E.g., two users edit the same document when they're offline and then, during syncing, they find that their versions diverge too much for them to be merged cleanly.) If so, isn't it possible to mark certain assets as "undivergable" which would effectively mean that the program would act like a traditional cloud-first type of app for that specific asset? This middle ground could introduce too much complexity and some inconsistency, but it could prove useful in certain cases.

Do not forget - cloud makes apps easier to monetize via ads and selling user data.

Business trumps perfect software engineering almost every time.