Dropbox wants to have an upper hand on Wall Street with keeping the price for IPO at $21 per share. This move by Dropbox is to lure investors but this is not a good deal for customers.
The consumers who are looking for a deal in cloud storage may ignore Dropbox as they can go for more liberal cloud storage like Google, Microsoft, Amazon, and Apple. In this digital world cloud storage is now a big issue for all consumers. The smartphones are available with limited storage and the data consumer stores are way more than the given storage space in smartphones. Consumers now looking for the cloud storage at an affordable price.
Physical hard drives are no more a reliable source for storing the data as they can get crashed and you may lose all your valuable data. Consumers now preferring cloud storage to store their files and data in a more secure way. The big companies have multiple servers which ensure the safety of the data your store.
DropBox enters the business with having a good amount of consumers, but the giants like Google and Apple making an impact in the cloud storage industry have pushed back DropBox to backfoot. Other online backup firms like Backblaze and Carbonite offer cloud storage at an affordable price.
DropBox said it has 500 million users but among them only 11 million pay DropBox for premium services. The IPO is believed to be one of the biggest tech IPOs from 2017 Snap and raised about $3 billion. Patrick Moorhead who is an analyst with Poor insight Strategy says that consumers of DropBpx are “ a loss leader. “
Rivals of Dropbox also reveals their numbers but they don’t disclose the number of paying customers. Google says it has 800 million users and Apple says it has 782 million users. The cost of cloud storage by Dropbox is $120 yearly for 1 TB, Google charges $120 yearly for 1TB, Apple iCloud charges 2Tb for $120 per year and Amazon Drive charge $59.99 yearly and it is for unlimited storage.
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