4 ms·

Um, how is this fair to say? "It is fair to say every user is worth $40.00/year." Seems like a very unlikely assumption. I know plenty of people who use the s

Um, how is this fair to say? "It is fair to say every user is worth $40.00/year." Seems like a very unlikely assumption. I know plenty of people who use the service, none are paying, where does the $40 come from?

lionhearted 15y ago
I pay, I think $10 a month? It's worth it. Many people will probably grow into paying for it. It really is a nice product. The sharing function is the killer part, not the backup. People new to it might not have discovered how easy it is to share files with it, and then your Dropbox can fill up pretty fast. Agree that the current accounts probably aren't worth $40/each - the valuation includes the technology, brand, and growth potential of course, not just the current userbase. But a lot of people will pay. Really, sharing big files used to be a major pain point online. Dropbox makes it ridiculously easy.
- MatthewPhillips 15y ago
  Isn't Dropbox just filling a hole that Amazon isn't serving correctly right now? Aren't they the Twitpic of AWS?
  - adelevie 15y ago
    Dropbox is filling a whole that Amazon and Google have failed to serve. The founders were scared of the GDrive according to their YC application. GOOG and AMZN have still failed to fill this gap however many years later. I'm guessing some of it has to do with the superb UX of Dropbox.
- Hisoka 15y ago
  When will it be time to stop looking to "growth potential" as a valid reason for huge valuations? 5 years from now? 10 years from now? Seriously, when can we stop and value a company for what it is right right now, not in some dreamy future?
  - eazolan 15y ago
    Why would you sell your company for what it is worth now? Why not just keep it and the money it generates? That's why.
  - shahan 15y ago
    It will be time to stop looking to growth potential as a valid reason for huge valuations, when it seizes to be a perfectly valid reason. All else being equal, wouldn't you pay more for a company with high growth potential than one with low growth potential?

lionhearted 15y ago

I pay, I think $10 a month? It's worth it. Many people will probably grow into paying for it. It really is a nice product. The sharing function is the killer part, not the backup. People new to it might not have discovered how easy it is to share files with it, and then your Dropbox can fill up pretty fast. Agree that the current accounts probably aren't worth $40/each - the valuation includes the technology, brand, and growth potential of course, not just the current userbase. But a lot of people will pay. Really, sharing big files used to be a major pain point online. Dropbox makes it ridiculously easy.

MatthewPhillips 15y ago
Isn't Dropbox just filling a hole that Amazon isn't serving correctly right now? Aren't they the Twitpic of AWS?
- adelevie 15y ago
  Dropbox is filling a whole that Amazon and Google have failed to serve. The founders were scared of the GDrive according to their YC application. GOOG and AMZN have still failed to fill this gap however many years later. I'm guessing some of it has to do with the superb UX of Dropbox.
Hisoka 15y ago
When will it be time to stop looking to "growth potential" as a valid reason for huge valuations? 5 years from now? 10 years from now? Seriously, when can we stop and value a company for what it is right right now, not in some dreamy future?
- eazolan 15y ago
  Why would you sell your company for what it is worth now? Why not just keep it and the money it generates? That's why.
- shahan 15y ago
  It will be time to stop looking to growth potential as a valid reason for huge valuations, when it seizes to be a perfectly valid reason. All else being equal, wouldn't you pay more for a company with high growth potential than one with low growth potential?