Cloud computing will help the UK deal with the "explosion [of] portable devices" which lack substantial storage space.
This was the claim made today by communications minister Ed Vaizey during a speech at the UK China internet forum, held in London.
"[Cloud computing] is especially significant today, at a time when we are seeing an explosion in the number of portable devices with limited storage capacity," he said.
"Access to clouds enables them to transcend that limitation and provide a level of functionality which would normally be associated with much larger machines."
However, Vaizey warned there would need to be a change in the approach to privacy and data security, with the Government, businesses and consumers working together to get the balance right.
"Cloud computing is a good illustration of the need for international co-operation to ensure the very important developments on the internet that hold great potential for both our countries are taken forward," he concluded.
The speech comes at a time when Vaizey has dominated tech headlines with his back and forth approach to net neutrality.
In a speech last week, he claimed to support an open internet but agreed a "two-tiered" web, whereby ISPs could sell faster access to sites through the content providers was an option.
However, in a backlash against his critics this weekend including fellow MP Tom Watson Vaizey refuted the articles written about his speech, claiming he was just as positive about the open internet as world wide web founder Sir Tim burners-Lee.
