Google Sheets is so basic in function that it's not usable for me other than the simplest of spreadsheets. I'm no Excel wizard by any stretch of the imagination, but I have quite a few Excel sheets I've tried to bring in over to Sheets and Sheets falls flat on its face. I hate Microsoft with a passion, but Office still has the feature set I need. The ribbon UI still sucks as bad as always, and it feels like each version is getting worse. LibreOffice is pretty good, better than Sheets, but still lacks some of the higher-end Excel features. Unlike Sheets, it can at least do a proper pivot table.

As far as file storage, 100% local for me. At the end of the day, no one else cares about you/your company's data like you do. Too many issues with cloud storage to count, with the #1 being backups. Most cloud services are sync, not backup services. Delete/damage the file and good luck getting back to where you started. I'm a huge fan of SyncThing and use that to move files between my various phones, tablets, etc. I have Versioning enabled in SyncThing as well.

For the future? I think a hybrid cloud/local setup will be what most people use. If they could make it truly seamless, it could work for many (most?) people. Somewhat like my SyncThing setup where files are local, but are sync'd and backed up in the background.