I don't understand those that think it's a gimmick.
It's a selling point for those that are looking for a office product.
As far as I know adding special features to a product (365) to increase sales has been around for thousands of years. Their is nothing wrong with offering more compared to their competition. That's called being business wise.
I never did have a problem with free. Free fits within my budget quite well.
As of now I really don't need a Cloud or 365 but it's nice to know that if tomorrow I do need a Office program like 365 the added little goodie of free Cloud is their for me to use if I so desire.
Concerning upload and download speed, well that is each persons or companies concern. Microsoft's speeds are quite quick but they do not control the speeds or methods and equipment for the other billions of systems using the Cloud.
I can't even conceive the cost to Microsoft for all that storage and bandwidth they use and offer the world for free with the use of Office 365.
Folks this is a good thing for those that need or want it.
As my grand-pappy use to say: Don't look a gift horse in the mouth.