Microsoft’s OneDrive on the other hand comes bundled with Office 365. In addition to this, this service comes bundled with additional services like business email, photos, hangouts and shared calendars. This comes with an unlimited subscription to Google Drive. For example, a Business G-suite subscription costs $12 per month. The challenge for Dropbox and Box is that the larger companies like Google and Microsoft offer their products as part of a suite. Further, companies like Slack ( WORK) too are attempting to disrupt the communication and storage industry. In New Zealand, Kim Dot Com also developed Mega, which gives users 50GB for free. In Asia, companies like Alibaba ( BABA), Tencent, and Baidu developed similar products, and in Russia, Yandex developed a similar product. Apple ( AAPL) developed iCloud, Amazon (AMZ) developed Amazon Drive, Google developed Google Drive, and Microsoft ( MSFT) unveiled OneDrive.

Along the way, other companies moved into the industry. As a result, most people who previously did not have a way to store, access, and share their files rushed to create accounts with these companies. In the past decade, the two companies have introduced the world to the world of cloud storage and online collaboration. Investors are giving the company a premium valuation because of the low churn rates and the predictable cash flows. The two have an EV to EBITDA margin of 37 and 17 respectively. The table gives a brief comparison of the company’s statements.īox and Dropbox are not undervalued companies. Box on the other hand is expected to generate revenue of $690 million, $776 million, and $881 million respectively. In 2019, 2020, and 2021, investors expect that Dropbox will generate revenue of $1.65 billion, $1.89 billion, and $2.1 billion. In this quarter, the revenue growth for the two was 16.40% and 18.37% respectively. Dropbox on the other hand had revenue of $401 million and a net loss of $21 million. In the most recent quarter, Box had revenue of $172.5 and a net loss of more than $36.23 million. It has also been boosting its integrations by partnering with companies like Microsoft ( MSFT ), Slack ( WORK ), Zoom ( ZM ), and Google ( GOOG ). It has also been developing more corporate apps like Dropbox paper. This has seen it buy HelloSign, as it attempts to create a more holistic platform for corporates. Like with Box, Dropbox has been on an aggressive move to attract more corporate customers. From the 500M, the company believes that it can convert 300 million users to become paying customers. This was a higher number than the 11 million that the company reported in its S1 filing. Of these 13.6 million were paying customers. As of the most recent quarter, the company had more than 500 million registered users. According to Box, it serves 69% of all companies in the Fortune 500 list.ĭropbox on the other hand has focused mostly on individual users. In the most recent earnings call, Levie reiterated that the goal of these additional services was to disrupt the content management industry he believes is worth more than $40 billion. In fact, when you visit Box’s website, it is difficult to believe that storage is the core product. While the storage remained being the core product, the company expanded its offerings with products like Box Relay, Box KeySafe, Box Governance, and Box Shuttle. Box decided to place more emphasis on corporate clients. Along the way, the two took different paths. With their desktop and mobile apps, people could save their documents and files and access them from everywhere. Today, the companies are valued at $2.1 billion and $7.4 billion.ĭropbox and Box began as cloud storage companies. At its peak, Box and Dropbox had market valuations of more than $4 billion and $16.82 billion respectively.

The two companies went public in 20 respectively and earlier optimism has faded. As a result, their respective CEOs were idolized in the technology industry. The two companies had pioneered a new dimension in data storage and content sharing. A few years ago, Box ( NYSE: BOX) and Dropbox ( NASDAQ: DBX) were among the best-known technology companies in their world.

Dropbox pricing 2019