Hurd clarified that the difference is between internal and external cloud. “We have 1,000 hacks a day and I can’t tell you why, but they keep showing up. We wouldn’t put anything material in nature outside the firewall,” said Hurd.

I've heard Mark Hurd speak. He is a very smart and charismatic guy. You don't get to be CEO of the 9th large company in the US unless you are a genius. However this idea of data isolation is not clearly articulated and represents a very 90s view of information architecture.

HP's Hurd: Cloud computing has its limits (especially when you face 1,000 attacks a day) | Between the Lines | ZDNet.com