Please refer to this MSU Forums thread, as there has been some 
discussion already, but I'm asking what the community thinks about using 
Amazon's S3 storage service in conjunction with Jungledisk software for 
a cost effective, secure, encrypted storage solution that potentially 
meets university requirements in terms of data security without running 
into the issue of 'no outside cloud providers' of services.  A few words 
from the 'higher ups' would be helpful.

Jungledisk is a one time software purchase that is $20, that encrypts 
your files with 256bit AES encryption before sending it up to Amazon S3 
storage service.  To store about 60 gigs of data, costs around $10 a 
month with Amazon, which is very compelling.

http://forums.msu.edu/showthread.php?t=83

Thank you.