Now that I can't access MegaUpload anymore

I looked into Amazon's Cloud Storage. 5 GB for free, but 1000 GB (that is 1 TB right?) cost $1.000/yr.
Woot?
$1.000 every year. Can't I buy a 2 TB external HDD for $100? That would get me 20 TB for $1.000 or 20 times the storage for the same money.
Why would anyone be prepared to pay Amazon $1.000 on a yearly basis?