Hi, I am Van. I'm an Independent Advisor and a Microsoft user like you. I'll be glad to help you today.
Cloud download is the new features of Windows 10 that directly gets a fresh copy of Windows from the Microsoft server instead of using the local files that are in your machine. If you have bad or corrupted system files, Cloud download is a good choice in resetting your PC. You must be connected to the internet if you want to attempt this process.
But if just need to reset your PC because of a minor issue and don't want to consume Internet data, then you can choose the local download
I hope you find this useful. Please do reach out to us if you need further assistance. I will be more than happy to help
Best regards,
Van