Lots of other flavors of Office 2013 to choose from - cloud isn't mandatory. But at 5 machines ($20/yr/machine), the 365 option's not bad for folks who don't need to worry about the cloud issues or for whom the potential benefits of the cloud outweigh the risks.
And, FWIW, I used Office 2000 for years and couldn't imagine needing or wanting any newer versions of Office apps, in part because I had Word, in particular, highly customized and tuned to my workflow to make what I needed to do on a daily basis very efficient. After Office 2010 came out & I read all the stuff about how horrible the ribbon was, etc., I was even more determined to keep cranking along with Office 2k. Then my main work rig gave up the ghost & I had no option but to go to a Win7 notebook, on which Office 2000 allegedly wouldn't run.
I bit the bullet and moved up to Office 2010 and immediately liked it. I was able to very quickly recreate almost all the customizations and create a shortcut bar for my frequently used functions & hide the rest of the ribbon until I needed it. I really like the way they've set up the File & Home tab functionality in particular, and I'm now a card-carrying Ribbonite - it's a real leap forward in productivity if you ask me. Admittedly, my needs may be a little different since 60% of what I do every day is create Word docs, but I wouldn't go back to Word 2000.
Interestingly, it turns out Word 2000 installs & runs just fine on Win7 - I took a flyer & tried on a couple of Win7 rigs in our office since everybody needs simple word processing from time to time and it worked without a hitch. Same for the rest of the Office suite apps.