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Feb 02, 2011
Mozy announced on Monday (Jan 31, 2011) that it is no longer providing unlimited online data backup plans for its famous MozyHome service. The move has been welcomed by online backup companies, but it has not been well received by many Mozy users.
Mozy has been forced to ditch the unlimited backup plan because of inexpensive high-end cameras, smartphones that capture HD video, and other advances that have led to average users requiring more and more space and bandwidth.
According to Mozy, 75% of users have backed up 50GB or less in MozyHome’s servers. The remaining 25% are considered power users and they are the ones who will be affected by these pricing changes. Mozy has more than 1 million users (not sure how many of these are free accounts and how many are paying subscribers), but 25% will roughly be 250,000 accounts. That is a lot of users to be affected.
Until now MozyHome has been charging $4.99 a month or $54.95 a year for unlimited online backup service.
The new plan is $5.99 per month for a 50GB, for one computer, or $9.99 per month for a 125GB for 3 computers. Additional computers cost $2 per month per computer, and users can add an additional 20 GB of space for $2 per month. Those who are currently in a “service period” are grandfathered into unlimited plan until their service term expires.
The are still companies providing “unlimited online backup” service, such as Carbonite, BackBlaze, Keepit.com, LiveDrive and many others. The question is now, will these companies continue to offer unlimited backup plan or will they just ditch it as Mozy did? Well, based on our contact / blog posts of these companies, they do not plan on discontinuing the unlimited backup service. In fact, some are offering discounts for current Mozy users to switch.
The price increase is very significant if the user has, for instance, 825GB of data. In this example, in the old plan, the cost was just $55 a year; with this new plan, this user will have to pay a lot of money! How much exactly? Well, let us assume that this user has chosen the 125Gb plan for $10 a month (which makes sense); and added the balance in chunks of 20GB for $2 per month. The final yearly bill will be an astounding $960 (or $80 per month), which is approximately 1,750% increase, when compared to the $55 a year flat fee. That is an incredible price hike.
Based on the above configuration, below is what would be the new pricing plan for MozyHome:
Table 1 – The new MozyHome Pricing Plan
Subscribers will get a month free if they go for a one-year plan and three months free if they go for a two-year plan.
How much data can you store in a 50 or 125 GB space? Well, it is a lot:
The old plan was as shown below:
Table 2 – The old MozyHome Pricing Plan
Below is what Mozy posted in its website (http://mozy.com/home/newplans/) regarding the change in the plan:
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