This is a valid argument. SaaS is a step in the wrong direction for use cases where continued access to the service is crucial.

I do not trust LastPass or similar third party systems with my passwords. Passwords are too important a part of my identity that I should have complete and exclusive control over it. (I use a mix of Text files+TrueCrypt+Timemachine and Dropbox for sync).

Same goes for email. I use IMAP to keep a local storage of my emails. But that is not a complete solution - my email address is still owned by a third party (Google) and they can lock me out of my identity any time they choose.

I'm currently cobbling together a couple of scripts to backup my pictures and media, mostly WORM (http://git-annex.branchable.com/backends/) data, onto multiple harddisks. The 1 TB storage of Flickr is enticing, but I'm not ready to exclusively trust a part of my identity which I want to indefinitely preserve, to yet another third party.