This is an example of where "cloud" computing (where a unknown server somewhere is holding data on your behalf) can go horribly wrong. When Microsoft bought the company running the T-Mobile "Sidekick" service (a company ironically called "Danger") for $500m they presumably asked if appropriate backups were in place. They apparently weren't, and now their customers have lost everything (photos, contacts, messages) with no way of getting the data back.
If you use any cloud service (eg Google Docs or Zoho) then do make sure you have a local backup of your information, just in case.
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