I get I might not be their target market (small business with about $1000/month on IaaS spending) but there are a couple things preventing me from doing so: 1) $10/month size suitable for a dev instance. 2) Some kind of scalable file storage solution with CDN integration – like RS CloudFiles/Akamai or AWS S3/Cloudfront or block storage to attach to an individual server.
I guess you get what you pay for… infrastructure components and flexibility AWS > RS > Linode > DO which roughly matches the price point.