Nobody said labor or land prices have gone down.
It's fair to criticize the per-TB price increase.
Apparently they've been losing money, so from that perspective it makes sense to increase prices, but it doesn't seem like it's based on their costs going up.
(The unlimited home backup price going up is a separate matter and has much more cost-based justification.)
And how much to just pay for 1 TB up front and I never have to pay for it again?
With steady decline in storage costs, that should be a sustainable business model. It gives you upfront capital.