Although the iCloud was widely expected, Apple’s announcement of it during its WWDC 2011 still resulted in a lot of excitement from both Apple and cloud advocates. Some consumers, however, expected the product to be a back up solution, but it is not.
As Anthony Palermo, the creator of cloud back up provider Dolly Drive, explained to us, iCloud serves as a very effective syncing service for iOS devices. However, it does not back up information as Dolly Drive does through Apple’s Time Machine.
He told us that if Dolly Drive users were to lose their hard drive, they could easily connect an external hard drive and pick up right where they left off.

Cool! Thanks!
Nice. Thanks for posting this. Not sure that I completely understand it, but thanks for taking the time to write this out.
A Complete Post. Thank You!
True, it’s not a complete backup solution, but it does back up most of your key components. I think that Apple’s ultimate goal is to just stream the movies/music portions once the cellular networks provide faster/unlimited plans. Until then the sync over WiFi still restores everything that iCloud doesn’t.