Not everybody who wants to communicate privately is a good person in a bad regime. And if someone's wall-wart gets implicated in the next terrorist attack, it will not be good for that person. Also, providing communication services without providing a way for governments to wiretap them is against the law in most jurisdictions. In the US, this is covered under the CALEA law, Communications Assistance for Law Enforcement Agencies. While it originally applied to voice communication, it has been expanded over the years.
The idea of freeing our data from cloud services over which we have little control still has appeal, as I would like to be able to retrieve data in a useful form. I don't have a reliable enough method to do that myself, as anything I do would be subject to physical damage like fires, while cloud providers can afford geographic redundancy. However, I would feel nervous about storing someone else's encrypted data on my server without having some key recovery mechanism. I don't think a judge would take kindly to my not being able to decrypt data stored on my server without some way to show who's data it was, and that they are the one who need to provide the key on demand.