If those rivals continue lowering their prices, Dropbox will likely have to follow to have any hope of winning customers.īesides it tech giant challengers, Dropbox also said that smaller companies like work software companies Atlassian and Box are also a threat as well as unnamed private companies. Dropbox said in its filing that because these companies have bigger budgets, Dropbox will be under pressure to keep the price of its service in-line with competing services. Stiff competitionīecause Dropbox plays in different markets like cloud storage and workplace software, it faces tough competition from some of the biggest companies like Amazon, Apple, Google, and Microsoft. In 2016, Dropbox said it had 500 million users and 150,000 Dropbox Business users, so while overall user growth is stagnant, more companies are paying for its product. The company’s core corporate software product Dropbox Business now has 300,000 users, the filing notes. The company also said that it has 500 million registered users around the world, with 11 million of those paying for additional features like security and management tools. accounts for over 10% of its overall sales. Dropbox said that no one country other than the U.S. That same year, Dropbox lost $111.7 million, a 47% less than the $305.0 million it lost in 2016.Ībout $576 million of Dropbox’s 2017 revenue came from the U.S., with $531 million coming from other countries. In 2017, the company had $1.1 billion in sales, a 31% increase from the $844.8 million it logged the previous year. That said, each year its sales have been growing while its losses shrink. Like many recent tech companies to IPO, Dropbox is unprofitable. Sales are growing while losses are shrinking Here’s some interesting takeaways from the filing: 1. And on Friday, the company made the paperwork public, revealing details about its financial performance, it’s internal tech infrastructure, and plans to expand. In January, Dropbox confidentially filed for an IPO. But as Dropbox matured over the years, it shifted its focus to business customers, and has since debuted paid versions of its online storage service as well as work collaboration software intended to make it more attractive to companies.
When Dropbox first debuted, it became a hit with consumers who used it’s free, online service to store their photos, music, and movies. The online storage and workplace software company’s debut on Wall Street would be one of the most highly anticipated in the tech industry in recent years because of its $10 billion private valuation.
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