This excellent, well-written article (full disclosure: I wrote it🙂 ) is on IBM’s developerWorks site. In their words:

Cloud computing isn’t just a server consideration. When you consider how ready the world is for pervasive clients — and how ready Linux is to accommodate — you’ll want to put your cloud plans on the front burner.

The article is at the top of the page here: http://www.ibm.com/developerworks/linux/
along with a lot of other excellent articles on Linux, though not necessarily embedded.

In case it has been bumped, here is a link directly to the article:
http://www.ibm.com/developerworks/linux/library/l-thin-client-cloud/index.html

UPDATE 4/29: The article was reviewed by LinuxDevices.com (thanks guys!)