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From a talk by Jeff Barr, Amazon's Web Services Evangelist:

Smugmug is one of the biggest customers for Amazon.com web services (meaning they could be invoiced if they wanted to be). However, they are billing everything on a American Express Platinum corporate credit card with the highest credit limit ($100K). Jeff says every month they probably earn three or four first-class tickets based on bonus points.

According to Jeff, their rate of growth is astonishing (Jeff said that they are storing about 15TB (yes, Terabytes) a month in S3). What happens to images in Smugmug ceases operations? Well, apparently the family has committed to a multi-generational commitment.