and this is why I disagree that the cloud provides more functionality.
I would agree that it provides different functionality.
but "more functional" implies that you can still do the same things as you could do with the "less functional" system. If neither system can really do what the other system does, one isn't more or less functional than the other, they just have different functions. Under some conditions you will value one function over the other, and under other conditions the value of the functions will flip.