Re: From bad to worse?
Absolutely! The Cloud* is brilliant and totally resilient and definitely never has any down time, and if our office loses it's Internet connection we definitely won't have any problem continuing to take orders over the phone using the order system that we can no longer access....
Personally I have one very important first rule for externally hosted cloud solutions. Can your business, or the business segment that relies on that solution, continue to function without it?
If the answer is no then you should keep it in house, and do proper redundancy and data recovery. With the right infrastructure your solution can be just as reliable as the cloud, and if you lose net access you can still see it even if your customers can't. Also just as importantly, if it does go wrong you have full control over fixing it instead of twiddling your thumbs waiting for an explanation and/or estimated fix time.
*WTF does that really mean anyway?!? The Cloud? So there's just one right? AWS, Azure etc are all just one big service. Arrgh, don't get me started on that part.