I also have a Pogoplug that I have been using for a few years, and bought a second one (on amazon for $20) that I wiped and installed a LAMP server on, it acts as a private web server. The down side of pogoplug is that you still access the files through their portal, so if they shut down, you lose the access ability, but the files and storage are yours.
Market driven changes won't work in this situation
The reason market driven changes won't work here is that there is an "industry standard" that everyone follows. If there was someone who offered an alternative, and that company had the ability to make the product available, then as people started leaving current providers to go to this new innovative service, then change may occur.
As it is, the industry players are entrenched and made it hard for any new players to enter the space.
Violent video games are like peanut butter," said Christopher J. Ferguson, of Texas A&M International University. "They are harmless for the vast majority of kids but are harmful to a small minority with pre-existing personality or mental health problems."
Peanut butter is dangerous to people with pre-existing mental problems? :)