Cloud computing is a significant opportunity for Australian industry. Ibis World estimated Australian cloud revenues at over $1 billion for 2010 and employment at around 4,300 persons. When it comes to cloud computing, can Australia reasonably aspire to become a regional hub for cloud computing? What will determine Australian industry's competitive position in offering cloud computing services and facilities? To what extent will Australian providers meet Australian demand for cloud services? Will Australia aspire to its usual back office role – with a few scraps badged as local content, or will it aspire to something more? Activity to date suggests there is reason for some confidence. If we were destined to become a cloud computing backwater we'd have seen less investment in cloud infrastructure than we have – for example Macquarie Telecom, Fujitsu and Telstra combined have invested nearly $1 billion in Australian cloud infrastructure. What can and should we do to encourage the nascent cloud computing industry in Australia?