The most elegant solution involves a DVD burner. The original idea, which I still want to implement, is to burn the backups to DVD and ship one copy to either Dan or Doug, once a month, so that no matter what, a backup exists in two seperate countries

I mean, well, you get the idea, having offsite, VERY offsite backups can only be a good thing. So, we archive the backups to DVD monthly, make a copy, keep one copy in a firesafe in our Detroit office, and send one copy to the UK or to Canada for safekeeping.
External HDs don't address one branch of our backup strategy: offsite backup. I want to have backups out of the office. If there's a fire on site, all of our backups are gone. Plus, I have yet to have success with external HDs, either USB2 or FireWire, for reliable backup situations. I don't trust them. Optical is archival, and that's what we're going for.
I think a donation scheme for a DVD burner would be a great idea, I never even thought to compare it to the SMx project, but it's the same thing. I can supply the media, I have a good source, but the burner just needs to be purchased. What do you guys think?