Greed on the cloud providers part, I think. You'd expect egress fees to enable cheaper compute, but there are other cloud providers out there like Hetzner with cheaper compute and egress, so the economics don't really add up.
Indeed, Hetzner is so much cheaper that if you have high S3 egress fees you can rent Hetzner boxes to sit in front of your S3 deployment as caching proxies and get a lot of extra "free" compute on top.
It's an option that's often been attractive if/when you didn't want the hassle of building out something that could provide S3 level durability yourself. But with more/cheaper S3 competitors it's becoming a significantly less attractive option.
Scaleway also, and they are fully S3 compatible. I use their glacier service for backup. I store 1.5TB for around 3€ per month.
I used the storage box from hetzner before but they only had 1TB or 5TB (and higher) choices so I had to pay for 5TB (€12 per month) without using most of it. Having rsync support was nice but rclone works fine with S3.
