Well, let's consider a scenario...
Apple has rolled out an iOS update.
Being a conscientious user, prior to applying the update, backups are made to both iCloud and iTunes.
Midway through the update process, using OTA on the device, it stalls, and the device goes into Recovery mode, demanding to be connected to iTunes.
iTunes 12 attempts to, but also fails to restore the device. Multiple times. But before than can even occur, iTunes must download the full .ipsw file, which weighs in at 1.5GB or more for most devices. What if the user had been stuck on a 1.5Mbs connection, or otherwise shaky connection? How long would that .ipsw download have taken?
Last ditch effort is made, using an earlier version of iTunes, which, for whatever reason, is able to successfully restore the device. Hallelujah.
Ok, now let's try to restore from iCloud backup. What? That's not even an option, because it had failed.
Good thing the iTunes backup is intact, and all the apps and media content are all on local storage (which negates the need for them to be part of the backup; also note that Transfers no longer work, which is the reason this topic was started to begin with). Even so, transferring roughly 30GB of data takes at least half an hour through a direct connection. How long would it have taken through iCloud, had it worked, which has notoriously slow restorations?
What if the user had never synced and backed up to iTunes? They'd be left without ANY safety net, and would have to start from scratch. How much time and effort would that require? On top of that, add in the time to install and set up iTunes, as a possible remedy, or trekking down to the local Apple store, if there is one nearby, for help. But then...what? The next available Genius appointment is four or five days out? Or, try to get on the walk in list, if the store even allows one? That's a three hour wait.
Of course, in Apple's world, where iCloud is 100% reliable, iOS updates are completely reliable, and everyone has a high-speed internet connection, there's absolutely no need for old tech like local sync and backups. iTunes? Who needs it? Right? Being without one's iOS device for the better part of the week is no sweat, right?
So yes, you're absolutely correct. All of us who are complaining are living in the past. Apple has got everyone covered through their perfect Cloud.
BTW, this wasn't a theoretical scenario -- it describes exactly how my 9.1 update transpired. As you might be able to tell by my nick, I've been around the block a few times with technology. My position comes from experience, not blindly consuming whatever Kool-Aid a tech company wishes to dispense.