A month ago there was lots of agitation and uncertainty over Adobe's decision to move all future revs of PhotoShop to the cloud. More recently Adobe has been offering photographers who already have licensed copies of previous versions of PhotoShop a special pricing strategy. They are bundling PhotoShop, Lightroom and Bridge for a monthly subscription cost of $9.99. With tax it come out to a little less than $11 a month for me.
I looked at the numbers for previous upgrades and the fact that the new upgrade path will be more of less seamless for me and decided to accept their offer. The contract holds the price to $9.99 per month for the next year.
I did the downloads yesterday afternoon and they went without a hitch on a Mac using system 10.8.4.
The upgrade is good for me as I keep getting cameras to test for which the raw files exist only on the newest versions of the software.
The software is resident on your hard drive and the files are resident on your hard drive but can also be sync'd with the free, accompanying 20 gigabytes of space you get in the Adobe cloud. You also get a free website program to use with your images. See their site for more details.
If you don't like the idea then just keep using what you have.