I worry, too.
A HD costs less with every day. It is cheaper to buy a GB every day on the physical market.
1) When i first bought my iPhone 4 in 2010, so 13 years ago, the 5GB icloud storage was already the deal. The phone was available in 8GB, 16GB and 32GB versions.
Regarding this i would expect the offered free 5GB space to increase in time. Today the smallest available storage is what? 128GB? Then shouldn't the free icloud storage be around 80GB? Where is Moore's law in this case?
2) Since i bought my first iPhone, still back in 2010, i have upgraded couple of times from the stores. If the price of a phone includes some iCloud, let's say, then if i buy 5, shouldn't i get 5 times that amount? I kinda payed for it in my way of thinking..
3) As the years go by people were forced to use iCloud. Literally. There are things we can't do anymore. Have you ever tried to move your pics on a Windows machine from the phone onto your computer? Do you remember how it was before the smart-phone-era? Then you must feel my pain. Starting with the fact that my iPhone is not so proud that it doesn't show my pics dirs for minutes because it is counting what means what after a heic -> jpeg conversion. :D At least this "feature" can be turned off.. But honestly, i would expect it to work another way: copy as heic as default but offer the feature of jpeg transition. The latter simply doesn't work with 150GB of photos.
Do you know that nowadays, if you make a backup on your Win laptop, you cannot move the backup to another dir/drive/nas/external drive.. ? It will be corrupted immediately. At this point i was mad. Like feeling becoming a slave of the system carefully build around "their way" and totally ignoring "my way" and my needs.. if i am a Win user.
I have some of these.. so, i decided to give icloud a try.
4) So the prices.. I live in a quite rich country but i came from a let's say mid rich country (in EU). 10$ is a lot there. 1/50 of a salary. Many people have iPhone though.. They save for it for months (I used to, too)! For them this is the cost of their mobile subscription. Is it really as an expensive service as maintaining a mobile provider?
5) Btw even in the rich country i say nope. 120$ / year.. I can buy a 2TB WD HDD for 70$.. 2 for my NAS so it has some protection for 140$. Then i don't have to pay anymore for years, till i need to upgrade the storage capacity. Maybe in 10 very skeptically 5 years. But then the bigger HDD will cost again 70$.
6) When a service is divided between people, it should become cheaper to the individuals. Not to mention that most people don't have a full icloud storage, they opt in for more and use on average what, maybe 60-70% top? Plus buying a HDD of 10TB has savings in it: cheaper price/TB ratio + till the 9-10 2TB plan users use only 50% of their capacity, 10TB is enough, no need to buy 20TB.
3$ i can live with. (still 180$ for 5 years :D) Nope, not 10$ for this service, even when if it is not just a HDD storage, it needs security, backup solutions, ... If 13 years ago 5GB could be free i don't see why today it can't be 4$ for 8TB /month and 3$ for 2TB/month.
I hope somebody is gonna read this from Apple. Thanks!