I don't' think any 1 service (over internet) since the day internet was born runs without any downtime.
Even services run as a company by itself like twitter, facebook, go down, including google search. When we're going to have such a service, like good old mainframes running simple reservation systems tirelessly without going down (very often), enterprise will believe in PaaS. Till that time, you'll see private cloud.
Finance institutions are the one who are creating an impression among Non-Finance folks, the Cloud is not secure.
I strongly feel, Cloud + Private Data Centers are going to go hand in hand in long-term. Cloud is not going to replace any Enterprise Data Centers in next decade or two, but, it's going to augment and provide the scalability for the Enterprise.
Microsoft Azure is the One and Only True PaaS (i feel so) in the sense, it's the only one which provide Enterprise to host their Middle/UI Tier in Azure and with Azure Connect to have their DB in-house/in their own Data Centers, which can provide best of both Worlds (PaaS/Cloud + Private Data Centers).
Disclosure: I'm a .NET Architect, and not in any way associated / working with Microsoft. Above is my personal opinion based on my belief, knowledge on Cloud, .NET & Enterprise.
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