I personally do not recommend cloud based protection because i will not protect you when you are offline....
What if a infected pen drive comes in when you are offline, you will be in grave danger......
I am talking about pure cloud. I am neither a support of pure cloud.
"I am talking about something like what Kaspersky did with their KSN. Say the Kaspersky on your computer encounter an unknown program which is actually a malware but it have no signature for it yet, what Kaspersky did was check the file against its virus lab using KSN. So if its virus lab have seen the file but have not issue a signature yet, it will warn the user that file is malicious".
If avast can do like this, it definitely would be a killer.
So it become partial cloud with signature.