$1100+/month + $700 in setup fees? Probably. EngineYard is friggin expensive. I would have gone with something like Linode if you're starting out and need to be frugal.
Since EY's customers are mostly Ruby developers, it must have been hard competing with GitHub + Lighthouse:
http://www.reuters.com/article/pressRelease/idUS145946+29-Ap...
Ultimately it was time that was the reason I decided to wind down. I barely had time to keep it running, let alone all the cool stuff I wanted to do with it. If I had the time to switch hosting providers, I would have.