They deduplicate and compress before storing, so it may end up only taking 1.5TB.
Still, that's $375/month. Nothing to shake a stick at.
I think the intended use case of tarsnap is for <100 GB raw data that is really important to you, for which you must have an offsite backup that is (according to them) insanely backed up and safe. I could see myself using them for a curated folder of personal documents I can't afford to lose in the event of a house fire. Then again, I could probably fit all my most important documents into my 1Password vault.
from my understanding of the tarsnap client, it performs the deduplication then encryption locally to achieve high compression. still the cost is too high for my exact use case.