You do have to pay for S3 to CloudFront traffic, so really you're paying twice. (Although the S3 to CF traffic might be cheaper than S3 to Internet, according to the Origin Server section on the Cloudfront pricing page.) http://aws.amazon.com/cloudfront/pricing/
Also, S3 buckets cannot scale infinitely. They have to have their key names managed appropriately to do it. http://aws.typepad.com/aws/2012/03/amazon-s3-performance-tip...
Finally :) I like SSH. But I'm the founder of Userify! http://userify.com