Well mine's come up for renewal and... I'm not renewing. I think £65 just for that is too much; I can get progs from the net which will do a similar thing (not over internet, but on a mac or USB flash stick).
They do need to do something more with it - I've got 2,700gb available on gmail for nowt (oddly enough, filled one account up already with email files I've mirrored to it) so why pay for 1gb storage?
I think when the iPhone makes its debut, it will sync everything via .mac in which case it has an added bonus, although I'd imagine you'd be able to sync it just by connecting via usb/cradle...?!