I'd like webdav type solution where the data is only available when you have a connection and the machine is authorized, a bit like the iphone app. Your point about encryption is also valid.
Of course when someone steals your laptop which is syncing to dropbox, the data is theirs. You can unlink updates to the stolen device but the data is gone. I'd love a remote wipe facility.
Townsend pleaded guilty. Anyone know when his book is out?