Jeff, thanks for this .... we're definitely not discouraged. After two years of being in the theme business and seeing one after another competitor launch almost daily, we're used to it. :)

Ultimately, we know competition is good for business ... it keeps us sharp and innovative FOR our community -- those who choice to spend their hard-earned money supporting us and allowing us to continue to release great WP projects.

Many people have asked how we'll respond and my answer is always this: We're going to keep doing what we do ... innovating and support our community.

I also think people want choices. They want control. If only VaultPress or [insert any new backup solution] existed, people would still want another solution. And vice versa.