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I've been following the consumer storage space closely because of my startup Snapatr. Dropbox was probably forced to do this because their growth rate was slowi
by kjaspal 12y ago
I've been following the consumer storage space closely because of my startup Snapatr. Dropbox was probably forced to do this because their growth rate was slowing down. Merging all the plans and charging $99/year for 1 TB was a pretty smart move as the can amortize the cost of people who are going to use the full 1 TB against the people who are using say 50GB of space. I'm guessing the reason we haven't heard about Dropbox's IPO recently is because of slowing growth rates. The new pricing plan was to spur growth rates at the cost of revenue. Ideally you want to be ensuring consistent growth rates pre-IPO. It is unlikely we'll be hearing about Dropbox's IPO in 2014/2015 because of the intense competition, reduced profitability and slowing growth rates.