Good luck talking a military customer into hosting their data in some "cloud" somewhere. Pretty sure banks and other industries will also feel that way. The market there is to deliver and support a small cloud infrastructure they can host and use themselves on their closed network.

So instead of building 1 cloud storage service, you need to effectively build a cloud storage factory, so you can deploy N cloud storage services on demand.

At that point you also potentially deliver a product (a rack of hardware) not just a pure service.