If you’re a regular internet user the Personal Data Storage paradigm won’t move your data from the cloud to your personal computer. Most people will still rely on an institutional cloud service, but instead of data-banking with a shareholder-controlled corporation people’s data can be entrusted to the equivalent of member-owned credit unions for data storage.
How do you account for off site back ups though? I’m currently setting up my own set up but I’m not sure how I should perform off site back ups.
Got a friend or family member willing to let you drop a miniPC at their place?
You could also go the offline route - buy two identical external drive setups, plug one into your machine and make regular backups to it, drop the other one in a drawer in your office at work. Then once a month or so swap them to keep the off-site one fresh.
Also there’s really nothing wrong with cloud storage as long as you encrypt before uploading so they never have access to your data.
Personally I do both. The off-site offline drive is for full backups of everything because space is cheap, while cloud storage is use for more of a “delta” style backup, just the stuff the changes frequently, because of the price. If the worst were to happen, I’d use the offsite drive to get the bulk infrastructure back up and running, and then the latest cloud copy for any recently added/modified files.