Hmm. I just saw a point cloud in Google's Flash Street View viewer last night, so strike out Google weakness # 1, above.
Here's where I spotted it: http://bit.ly/bnw1VR Click on the "Photos" icon in the upper right hand corner of the embedded map of Palacio de Bellas Artes, Mexico City, Mexico and click through the first four photos in the photo strip and you should see what I saw.
That particular point cloud is not terribly large and they are rendering it at an incredibly low resolution to keep things relatively fast, but if I've learned anything about Google, it's that they will be implementing improvements as soon as they are finished. Being that they hired Yasutaka Furukawa recently, I'd say they have big plans for beefing up the reconstruction quality of those point clouds and they've already ported Google Earth to all major desktop platforms which puts considerably more power at their disposal than Silverlight currently affords. Looks like trouble to me.