Indeed, at 1TB scale, cloud storage can sound "dirt cheap", and, of course, it is, since the fixed cost of hardware to store that reliably is the same as for 100TB.
10x that, or a petabyte, would cost $144k-$180k after 3 years, depending on region. Hardware [1] might be, generously, $60k. The hardware would also have operating costs of another $26k [2], but Glacier would have retrieval and data transfer costs if one ever wanted the data back.
Of course, tape, the subject of TFA, is even better. $17k [3] for the hardware and minimal operating cost in the labor required to change the tapes.
VC-funded startups have been tending to ignore this artithmetic (which applies to all cloud infrastructure, at only slightly larger scales), lately, so cost isn't always an issue any more.
[1] Let's say 100 12TB drives for 84 data, 12 (triple) parity, 4 warm spares. 3 enclosures, 6 SAS HBAs, plenty of CPU and RAM for ZFS.
[2] Generously, the above is 2.7kW. Adding 50% for cooling, at 12c/kWh. A commercial datacenter could double that (or triple or more, but, for backups, presumably one would find a geographically cheaper one).
[3] LTO-8 drives are $2700 and 12TB cartridge are $170.