While I'm not trying to invalidate your point, it seems that given the size of 1MB sites you could have a backup of a few milions of websites for under $1[0]. Also, while the maximum size is 1mb not all sites would use all available quota so the actual average size will probably be lower than 1 megabyte driving the cost down even further. This means that that even without VS's or other investors a single person would be able to cover the costs of keeping those sites. Well, assuming there is a will to do so.

[0] For example,archive storage at OVH runs at 0.0026$ per GB, so having a backup of 4 million 1mb sites would cost 1.04$/month for three copies of data.