well, have had that 5GB iCloud "free" space since it was first offered, and guess what, I'm using just over 500MB of it.
I have currently ~10k photos/videos on my iPhone, and use ~200GB/512GB.
Guess again, I backup my iPhone to my Mac, and I backup my Mac to 4 different drives, mix of SSD/HDD. Have a total of ~ 3TB of data, so backing all that up to iCloud, the new 6TB plan would be $30/month, $360/year, $1,800 over 5 years. I can buy a lot of drives for that $$$. Plus, a restore from cloud - how long will that take if you really need it?
And, do you know that Apple (or any cloud provider for that matter) backup YOUR data?
But then again, I'm not your average person, I am glad they finally offer more choices for those who want/need it