Outsourcing customers are eager to benefit from advances in flexibility and cost effectiveness made possible by cloud capabilities, and suppliers of outsourcing services are eager to deliver them. Cloud capabilities are now at the top of the agenda for investment in service improvements for outsourcing suppliers. However, visions of future cloud services by the major outsourcing suppliers remain a work in progress, both practical and aspirational in nature. Meanwhile, cloud-oriented capabilities increasingly influence outsourcing transactions, although most remain little changed at their core. While the positioning runs hot and heavy and the prospect of "cloudwashing" remains ever present, cloud strategies from major providers can already deliver value. Sourcing and vendor management professionals should evaluate their supplier's intentions and state of existing offerings to gauge their suitability for cloud-based service delivery.