That's true, although it tends to hide the data in some '/users/documents/appdata/local/roaming/cache' craziness rather than true i/o. I still can't load a preferences file off my ~/crazy_named_personal_folder, update it, and then save to the same location, at least as far as I know (I've only played around with local storage briefly).

And that's a lot easier to lose and a lot less portable than all the stuff I care about in a single folder that I sync with an external hard drive, a usb drive, and dropbox, automatically.

But it's still better than nothing, and I'm glad it's an option now.