Good architecture. And nice of you to explain clearly and completely the problem and to invite your users to backup. I'd like to see that more often, but more companies are too scared to lose customers to do that.
But they'll win new ones when this story and the likes come to their attention, and when they learn how the company handled it with honesty and aplomb. I for one was unaware of this service and this story has made me consider signing-up.
