Why is eMail Still in House?

With everybody trying to outsource SOMETHING in the Tech Department and reduce costs why not start with the most basic services where functionality has maintained relatively stagnant since the 1990s?  What has changed in your email system since then really, it is essentially the same system with trusted functionality.  So is it those nagging intangibles that keep it in-house?  I see three simplified dismissals:

1. In-house STRONG, out-source FAIL - There is a giant leap of faith that has to be made to say that the evils you don't know are more trustworthy than the evils you do.  Having somebody you can physically loom over when you need email services restored, despite their slow response time, is of more importance then trusting a team who maintains and restores one type of system regularly but is a mythological coven in the distance.
2. Our company secret emails will end up on the web - The concern over an outside company conspiring with your competition to achieve an advantage by knowing your secrets is an unfounded fear, this situations currently lacking significant news events.  If a competitor really wants to get ahold of your competitive information, they will get them from an internal source, I see it time & time again in previous eDiscovery work.  Even then, the information is more likely to be offered up from a disgruntled employee than outside powers seeking them out.
3. Email admin positions are easy to fill  - The CIO has a friend that can use a job, was a Windows admin and certainly can keep an email server running.  The Exec in marketing has a brother-in-law he just finished 8 tech classes at the local community college and needs a job, he can run an email server.

While there are certainly legitimate concerns regarding email, I am becoming more of the opinion there are two primary concerns about outsourcing email preventing progress.  First, people do not know what it costs to run their current email system or are uncomfortable with the idea of billing departments based on specific usage, an entire how-to topic in itself. Second, the fools that we know are more comfortable than the boogie man we don't.

UPDATE : I had a great conversation with a colleague the other day regarding this topic and he has first hand experience with the issue.  As of this update there is NO LEGAL HOLD ABILITY for the major cloud email providers; this includes Microsoft, IBM and Google.  While they have things in the works and half-baked solutions, their cloud email systems do not allow for clients to easily do legal hold of email boxes.  Using standard software in unconventional manners, my friend has figured out how to make this happen at the enterprise level.  I am almost dumbfounded that cloud email providers did not make this a consideration up front.