With the way carriers charge for data and the way streaming hiccups, these services are a far cry from having a massive library and the quickness of local access.
I am actually dissappointed in the general population; they have allowed these streaming services to become successful which will only lead to less rights and less control of the information you're paying for. The idea I have to depend on a companies server that has no promise that x video/music will be available at any time and that they can terminate my membership for any reason doesn't sit well for me. Nor does the idea of them being able to just delete what they please.
I think consumers are being foolish, this gives more control to the companies than it does the consumers. Not to mention the potential security issues, privacy issues that comes with steaming/cloud services.
Its unfortunate that many don't realize the kinds of freedoms they are giving up with these services. In fact these are the services that have essentially halted the expansion of local capacity because these hardware developers want you to pay monthly for their services to get space. If it weren't for these streaming services and cloud services I would guarentee you phones would be at 128/256 GB capacities. These cloud/streaming services are hurting advancement in technology in my opinion.
As for the classic, I am having a hard time moving from the classic to other devices. I have started to use my Note 3 with an external 64GB + Internal 64GB card for music but its cumbersome and touch interface is annoying for music having to look at it all the time.