|By Paul Miller||
|November 21, 2012 09:21 AM EST||
Cloud storage product Dropbox is one of those tools that users tend to rave about. It’s deceptively simple. It’s pretty reliable. The value proposition is immediately apparent. It has paid tiers of usage that bring additional storage but (like other freemium beacons such as Evernote) the free offering is rich enough to be compelling, engaging, and valuable. However, as Apple, Google and Microsoft start bundling very similar capabilities right into their latest operating systems, how can Dropbox (or any of its many peers) manage to keep attracting new customers?
Maybe all the articles and blog posts that lump these products together and label them as ‘just’ alternative cloud storage solutions are missing the point? Maybe they’re addressing fundamentally different problems, and maybe that offers room for differentiation as the market becomes clearer.
The late Steve Jobs once, famously, described Dropbox as ‘a feature, not a product.’ A feature for which he was apparently willing to part with as much as $800 million, but still just a feature. And, from Apple’s perspective, cloud storage is just a feature. It’s a feature that strengthens the Apple product ecosystem. It’s a feature that makes it that little bit harder to seriously consider buying a non-Apple tablet or computer when you already own an Apple phone. All your data is available on all of your devices. All of your music is available on all of your devices. Diary entries made on one device automatically appear on all of the others. It’s magical. It’s genuinely useful. And it’s a concept that is ridiculously easy to sell to prospective customers. Those customers are buying an iPhone or an iPad or an iMac, and they’re loving glass and aluminium, but the (allegedly) seamless cloud stuff going on behind the scenes is a very effective means of dissuading an existing Apple customer from straying toward the latest shiny alternative from Amazon or Google or Microsoft. The latest Lumia has tiles? So what. You’d have to copy your data onto it manually!
Microsoft’s SkyDrive and Google’s Chrome OS incarnation of Drive are essentially the same. They’re convergence plays, intended to make today’s devices as sticky as possible, and to ensure that future devices from the same stable are current customers’ first choice. And, as Jobs said, they’re features. They’re another badge, handed out to members of the tribe of Apple/ Microsoft/ Chrome|Android and worn with pride.
With over 100,000,000 users, a valuation in the billions of dollars, and investment in excess of $250 million, Dropbox remains a force to be reckoned with. It would be easy to suggest that the arrival of iCloud et al has simply removed Dropbox’s market overnight, but the number of registered users doubled in the six months to November of this year. It took over a year for the previous doubling of user numbers, from 25 to 50 million. SkyDrive, Google Drive and iCloud were all available.
Nevertheless, Dropbox does face a challenge. Early adopters and engaged users already consciously opt for services like Dropbox’s. But the vast majority of potential users, when looking for a cloud storage solution, will surely just switch on the one that their device is already configured with. In other words, iCloud, Drive, or SkyDrive. The market of users who will take this easy route must be far larger than the market of users who will go out and download something else when they don’t have to. But — and this may ultimately play to Dropbox’s advantage — the mass market of default-choosing users is probably almost entirely populated by people who will never hit the limit on the free storage that Dropbox offers them. They will take, and they will consume, and they will be a cost, but they’re very unlikely to ever pay Dropbox any money. The customers who care enough to go looking for alternative solutions, on the other hand, probably have the mindset or the storage requirements to part with cash. Dropbox’s conversion rates should rise, leading to slower growth on that overall user graph but a healthier balance sheet.
Ironically, perhaps the biggest potential market for future Dropbox growth is also one that is increasingly being squeezed. iCloud, Drive, and (to a lesser degree) SkyDrive appeal to individuals and small companies with enlightened IT procurement policies. They appeal to people with the power to choose (and the budget to afford) a set of devices that can and will work together seamlessly. But for the great mass of enterprise employees, spending their own money on a tablet or a smartphone and then trying to find a workflow that shares data between them and the bland Windows laptop handed to them by their employer, Dropbox must seem the answer to their prayers.
Except, of course, that enterprise CIOs are (understandably) terrified about data loss and they are cracking down hard on employee use of consumer cloud storage solutions. Dropbox’s fledgling business offering is limited at best, and ‘enterprise Dropbox’ offerings like Oxygen Cloud, Egnyte and GroupLogic are snapping at the company’s heels with a raft of CIO-friendly capabilities around audit, permissions, and more. For the CIO, and the business, these solutions make an awful lot of sense and deliver an awful lot of value.
But for the poor employee with a personal iPad and a company Dell? They probably still want their Dropbox…
Disclosure: I use the premium versions of Dropbox and Evernote every single day. They are invaluable core parts of my workflow across multiple devices. I pay for them, just like the rest of you. I also make some use of the free storage allowance offered by Box, Google’s Drive, Apple’s iCloud and Amazon’s CloudDrive.
- Building a platform for files in the cloud (zdnet.com)
- Dropbox doubles size of Pro accounts for free, intros 500GB plan (venturebeat.com)
- Nobody will win the storage war (filepicker.io)
- Next From Box: Embedding Storage In Your Apps (readwrite.com)
- Dropbox reaches 100 million users, founders not concerned about competing services (theverge.com)
Software AG helps organizations transform into Digital Enterprises, so they can differentiate from competitors and better engage customers, partners and employees. Using the Software AG Suite, companies can close the gap between business and IT to create digital systems of differentiation that drive front-line agility. We offer four on-ramps to the Digital Enterprise: alignment through collaborative process analysis; transformation through portfolio management; agility through process automation and integration; and visibility through intelligent business operations and big data.
Sep. 30, 2014 10:30 AM EDT Reads: 1,440
There will be 50 billion Internet connected devices by 2020. Today, every manufacturer has a propriety protocol and an app. How do we securely integrate these "things" into our lives and businesses in a way that we can easily control and manage? Even better, how do we integrate these "things" so that they control and manage each other so our lives become more convenient or our businesses become more profitable and/or safe? We have heard that the best interface is no interface. In his session at Internet of @ThingsExpo, Chris Matthieu, Co-Founder & CTO at Octoblu, Inc., will discuss how these devices generate enough data to learn our behaviors and simplify/improve our lives. What if we could connect everything to everything? I'm not only talking about connecting things to things but also systems, cloud services, and people. Add in a little machine learning and artificial intelligence and now we have something interesting...
Sep. 29, 2014 06:45 AM EDT Reads: 1,868
Last week, while in San Francisco, I used the Uber app and service four times. All four experiences were great, although one of the drivers stopped for 30 seconds and then left as I was walking up to the car. He must have realized I was a blogger. None the less, the next car was just a minute away and I suffered no pain. In this article, my colleague, Ved Sen, Global Head, Advisory Services Social, Mobile and Sensors at Cognizant shares his experiences and insights.
Sep. 28, 2014 09:45 AM EDT Reads: 1,527
We are reaching the end of the beginning with WebRTC and real systems using this technology have begun to appear. One challenge that faces every WebRTC deployment (in some form or another) is identity management. For example, if you have an existing service – possibly built on a variety of different PaaS/SaaS offerings – and you want to add real-time communications you are faced with a challenge relating to user management, authentication, authorization, and validation. Service providers will want to use their existing identities, but these will have credentials already that are (hopefully) irreversibly encoded. In his session at Internet of @ThingsExpo, Peter Dunkley, Technical Director at Acision, will look at how this identity problem can be solved and discuss ways to use existing web identities for real-time communication.
Sep. 27, 2014 11:30 PM EDT Reads: 1,895
Can call centers hang up the phones for good? Intuitive Solutions did. WebRTC enabled this contact center provider to eliminate antiquated telephony and desktop phone infrastructure with a pure web-based solution, allowing them to expand beyond brick-and-mortar confines to a home-based agent model. It also ensured scalability and better service for customers, including MUY! Companies, one of the country's largest franchise restaurant companies with 232 Pizza Hut locations. This is one example of WebRTC adoption today, but the potential is limitless when powered by IoT. Attendees will learn real-world benefits of WebRTC and explore future possibilities, as WebRTC and IoT intersect to improve customer service.
Sep. 27, 2014 10:30 PM EDT Reads: 1,817
From telemedicine to smart cars, digital homes and industrial monitoring, the explosive growth of IoT has created exciting new business opportunities for real time calls and messaging. In his session at Internet of @ThingsExpo, Ivelin Ivanov, CEO and Co-Founder of Telestax, will share some of the new revenue sources that IoT created for Restcomm – the open source telephony platform from Telestax. Ivelin Ivanov is a technology entrepreneur who founded Mobicents, an Open Source VoIP Platform, to help create, deploy, and manage applications integrating voice, video and data. He is the co-founder of TeleStax, an Open Source Cloud Communications company that helps the shift from legacy IN/SS7 telco networks to IP-based cloud comms. An early investor in multiple start-ups, he still finds time to code for his companies and contribute to open source projects.
Sep. 27, 2014 10:30 PM EDT Reads: 2,276
The Internet of Things (IoT) promises to create new business models as significant as those that were inspired by the Internet and the smartphone 20 and 10 years ago. What business, social and practical implications will this phenomenon bring? That's the subject of "Monetizing the Internet of Things: Perspectives from the Front Lines," an e-book released today and available free of charge from Aria Systems, the leading innovator in recurring revenue management.
Sep. 27, 2014 09:45 PM EDT Reads: 2,480
The Internet of Things will put IT to its ultimate test by creating infinite new opportunities to digitize products and services, generate and analyze new data to improve customer satisfaction, and discover new ways to gain a competitive advantage across nearly every industry. In order to help corporate business units to capitalize on the rapidly evolving IoT opportunities, IT must stand up to a new set of challenges.
Sep. 27, 2014 08:45 PM EDT Reads: 2,350
There’s Big Data, then there’s really Big Data from the Internet of Things. IoT is evolving to include many data possibilities like new types of event, log and network data. The volumes are enormous, generating tens of billions of logs per day, which raise data challenges. Early IoT deployments are relying heavily on both the cloud and managed service providers to navigate these challenges. In her session at 6th Big Data Expo®, Hannah Smalltree, Director at Treasure Data, to discuss how IoT, Big Data and deployments are processing massive data volumes from wearables, utilities and other machines.
Sep. 27, 2014 01:00 PM EDT Reads: 2,035
All major researchers estimate there will be tens of billions devices – computers, smartphones, tablets, and sensors – connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be!
Sep. 27, 2014 11:00 AM EDT Reads: 2,204
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at Internet of @ThingsExpo, Erik Lagerway, Co-founder of Hookflash, will walk through the shifting landscape of traditional telephone and voice services to the modern P2P RTC era of OTT cloud assisted services.
Sep. 26, 2014 11:45 PM EDT Reads: 1,530
While great strides have been made relative to the video aspects of remote collaboration, audio technology has basically stagnated. Typically all audio is mixed to a single monaural stream and emanates from a single point, such as a speakerphone or a speaker associated with a video monitor. This leads to confusion and lack of understanding among participants especially regarding who is actually speaking. Spatial teleconferencing introduces the concept of acoustic spatial separation between conference participants in three dimensional space. This has been shown to significantly improve comprehension and conference efficiency.
Sep. 26, 2014 10:45 PM EDT Reads: 1,471
The Internet of Things is tied together with a thin strand that is known as time. Coincidentally, at the core of nearly all data analytics is a timestamp. When working with time series data there are a few core principles that everyone should consider, especially across datasets where time is the common boundary. In his session at Internet of @ThingsExpo, Jim Scott, Director of Enterprise Strategy & Architecture at MapR Technologies, will discuss single-value, geo-spatial, and log time series data. By focusing on enterprise applications and the data center, he will use OpenTSDB as an example to explain some of these concepts including when to use different storage models.
Sep. 26, 2014 07:45 PM EDT Reads: 2,286
SYS-CON Events announced today that Gridstore™, the leader in software-defined storage (SDS) purpose-built for Windows Servers and Hyper-V, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Gridstore™ is the leader in software-defined storage purpose built for virtualization that is designed to accelerate applications in virtualized environments. Using its patented Server-Side Virtual Controller™ Technology (SVCT) to eliminate the I/O blender effect and accelerate applications Gridstore delivers vmOptimized™ Storage that self-optimizes to each application or VM across both virtual and physical environments. Leveraging a grid architecture, Gridstore delivers the first end-to-end storage QoS to ensure the most important App or VM performance is never compromised. The storage grid, that uses Gridstore’s performance optimized nodes or capacity optimized nodes, starts with as few a...
Sep. 26, 2014 06:15 PM EDT Reads: 1,649
The Transparent Cloud-computing Consortium (abbreviation: T-Cloud Consortium) will conduct research activities into changes in the computing model as a result of collaboration between "device" and "cloud" and the creation of new value and markets through organic data processing High speed and high quality networks, and dramatic improvements in computer processing capabilities, have greatly changed the nature of applications and made the storing and processing of data on the network commonplace. These technological reforms have not only changed computers and smartphones, but are also changing the data processing model for all information devices. In particular, in the area known as M2M (Machine-To-Machine), there are great expectations that information with a new type of value can be produced using a variety of devices and sensors saving/sharing data via the network and through large-scale cloud-type data processing. This consortium believes that attaching a huge number of devic...
Sep. 26, 2014 06:00 PM EDT Reads: 1,581
Innodisk is a service-driven provider of industrial embedded flash and DRAM storage products and technologies, with a focus on the enterprise, industrial, aerospace, and defense industries. Innodisk is dedicated to serving their customers and business partners. Quality is vitally important when it comes to industrial embedded flash and DRAM storage products. That’s why Innodisk manufactures all of their products in their own purpose-built memory production facility. In fact, they designed and built their production center to maximize manufacturing efficiency and guarantee the highest quality of our products.
Sep. 26, 2014 05:00 PM EDT Reads: 1,581
Can call centers hang up the phones for good? Intuitive Solutions did. WebRTC enabled this contact center provider to eliminate antiquated telephony and desktop phone infrastructure with a pure web-based solution, allowing them to expand beyond brick-and-mortar confines to a home-based agent model. Download Slide Deck: ▸ Here
Sep. 26, 2014 10:00 AM EDT Reads: 1,527
All major researchers estimate there will be tens of billions devices - computers, smartphones, tablets, and sensors - connected to the Internet by 2020. This number will continue to grow at a rapid pace for the next several decades. Over the summer Gartner released its much anticipated annual Hype Cycle report and the big news is that Internet of Things has now replaced Big Data as the most hyped technology. Indeed, we're hearing more and more about this fascinating new technological paradigm. Every other IT news item seems to be about IoT and its implications on the future of digital business.
Sep. 26, 2014 10:00 AM EDT Reads: 2,063
BSQUARE is a global leader of embedded software solutions. We enable smart connected systems at the device level and beyond that millions use every day and provide actionable data solutions for the growing Internet of Things (IoT) market. We empower our world-class customers with our products, services and solutions to achieve innovation and success. For more information, visit www.bsquare.com.
Sep. 26, 2014 09:45 AM EDT Reads: 1,435
With the iCloud scandal seemingly in its past, Apple announced new iPhones, updates to iPad and MacBook as well as news on OSX Yosemite. Although consumers will have to wait to get their hands on some of that new stuff, what they can get is the latest release of iOS 8 that Apple made available for most in-market iPhones and iPads. Originally announced at WWDC (Apple’s annual developers conference) in June, iOS 8 seems to spearhead Apple’s newfound focus upon greater integration of their products into everyday tasks, cross-platform mobility and self-monitoring. Before you update your device, here is a look at some of the new features and things you may want to consider from a mobile security perspective.
Sep. 26, 2014 09:00 AM EDT Reads: 1,408