So he removed his data, but to his surprise the database did not "shrink". Of course it does't!!!!!! SQL-server does not know what you want to do with it
Not sure if this was aimed at me, but to add its not that I expected the data files to shrink. But I did expect the free space within the files to be visible. And to an extent it is. It's just not as much as I was expecting.
I was also of the assumption that white space in a database doesn't consume any space in a backup file. Though I might be wrong about that.