4 ms·

Here is the fundamental problem of competing against Google as a SW company. Google is an advertising company, as everyone now well knows. They have no proble

Here is the fundamental problem of competing against Google as a SW company. Google is an advertising company, as everyone now well knows. They have no problem selling SW cheap, or giving it away for free, if they can help their advertising business (either directly by hosting ads in the service, or mining data from the service for info to help target ads). If you feel like your SW has actual value and charge for it, but Google has you in their cross hairs, you either really need a great product (that can't easily be cloned) or very strong network effects. While I think DropBox is a great product, and harder to clone that most people give it credit for, Google I think is the type of company that could actually nail a DropBox clone. And with GMail, Docs, and Android integration -- could be a serious force. I must admit I'm a bit saddened that the actual value of so much good SW is ~$0.

meow 15y ago
"you either really need a great product (that can't easily be cloned) or very strong network effects." Or a business model where advertising won't easily support the resources needed to provide the service. Theoretically storage is one such service, but I guess with dipping storage costs, the tipping point where its cost effective with advertising alone might have reached now.
- georgemcbay 15y ago
  Storage costs have been insanely cheap for a long time, the real dropping cost that is enabling this is bandwidth costs (commercial bandwidth costs, not last mile consumer ISP costs).
jroseattle 15y ago
"If you feel like your SW has actual value and charge for it, but Google has you in their cross hairs, you either really need a great product (that can't easily be cloned) or very strong network effects." Let's substitute the names of Netscape and Microsoft circa 1997 and see how this plays out. I can't wait to hear all the reasons why the Google/Dropbox comparative scenario is so much different.
- Elepsis 15y ago
  Is your argument that Google should also be taken to court by the Department of Justice and submit to one of the largest antitrust settlements in American history?
  - jroseattle 15y ago
    Just an "observation". You would have to ask the DOJ about anything else.

meow 15y ago

"you either really need a great product (that can't easily be cloned) or very strong network effects." Or a business model where advertising won't easily support the resources needed to provide the service. Theoretically storage is one such service, but I guess with dipping storage costs, the tipping point where its cost effective with advertising alone might have reached now.

georgemcbay 15y ago
Storage costs have been insanely cheap for a long time, the real dropping cost that is enabling this is bandwidth costs (commercial bandwidth costs, not last mile consumer ISP costs).

jroseattle 15y ago

"If you feel like your SW has actual value and charge for it, but Google has you in their cross hairs, you either really need a great product (that can't easily be cloned) or very strong network effects." Let's substitute the names of Netscape and Microsoft circa 1997 and see how this plays out. I can't wait to hear all the reasons why the Google/Dropbox comparative scenario is so much different.

Elepsis 15y ago
Is your argument that Google should also be taken to court by the Department of Justice and submit to one of the largest antitrust settlements in American history?
- jroseattle 15y ago
  Just an "observation". You would have to ask the DOJ about anything else.