As for a response, I have previously written about the price increase many times throughout the forum in previous postings. The complaints stem from users who make a comparison to hard drive costs; sometimes comparing an external USB drive to the cost of performing online backups.
Here is my personal response, and may not be that of Mozy in general, but hopefully it will provide an explanation even if it doesn't solve any dissatisfaction with Mozy. There is a lot more to performing online backups than simply backing up files to an external drive (as was the comparison of someone who didn't understand the price increase).. If that external drive fails, then the data is lost with little or no recovery. The data stored at Mozy is stored with fault tolerance over several drives / servers. The data is available with more stability. Also, users have the option of encryption to lock down files so not just anyone can see them; Mozy provides security. And, the foremost issue that is probably responsible for the price changes stems from the advancement in technology. Take for instance a photo from a camera. Years ago, a typical photo might be a Megabyte in size. Now, with multiple megapixel cameras, those photos are much larger. Now compound that with millions of customers and the issue becomes more apparent. Also, there was an average size of backups by our customers and with the unlimited plan, we did end up with a few customers saving many Terabytes of data for $6 a month. That simply wasn't sustainable. We have state of the art components and servers stored in various data centers in several places. These data centers are designed to make data available all the time; even in the event of a power failure, or other disasters, etc. Typically, data centers are an expensive option to insure that data is always available to our customers when they need it.. To top this off, we are always innovating new products and now there is a mobile app for your smartphone so you can download documents to those units and there is more coming down the pipe.
Whew, that was a lot of information. While we can apologize for the changes, I felt it was more important to explain the changes and what lead to them. I also believe that many competitors will be making some changes in the near future as well.
Mozy execs either don't understand the concept of price elasticity or are laughably optimistic about the consumer demand for their product. I suppose a third option is that they woefully underestimated the amount of data the average person maintains on their home PCs or the overhead of maintaining their infrastructure.
In any case, no business can implement a cost increase of over 500% for their (only) product and survive. None.
The previous Mozy employee comments about more megapixels in cameras (yada, yada) is ridiculous for many reasons, including the fact that their evolution was entirely predictable and predicted.
I don't know what rationale is actually behind the increase, but they have lost my business forever.
P.S. The employees on this site being fed these talking points to feed to customers should be ashamed of themselves. They know better.
I need 500 gb of data. to upgradde my mozy account to this, it will cost a small fortune. im researching other options like a competitor and a competitor. THey offer unlimited backup for like $50/year. Why in the world would I stay with mozy?