While rival Box is also preparing for an IPO, Dropbox could beat them by getting there first. Box has been saying that it won't go public before 2014.
Investors certainly will look at the news with a grain of salt. Things haven't really gone the green way ever since the Facebook IPO failed to wow them. But is cloud computing the future?
Dropbox, currently being valued at about $4 billion, probably has more customers and is rather popular amongst users today due to its sheer simplicity. The company has focused on keeping its user interface simple throughout, something that has always appealed to new users. Dropbox has around 200 million users as of now. But the company is now shifting its focus towards the enterprise sector.
As we reported earlier, Dropbox recently launched an array of features to impress the enterprise sector. The company sees future growth in companies deploying its paid product offerings. However it's still a little too early to predict how those efforts convert into hard cash for the company. An IPO will surely speed things up a little but that's nothing solid on the table as far as investors are concerned.
Meanwhile Box isn't leaving anything to chance either. The company has long inspired to be the Dropbox for the enterprise. Its clients already include Netflix and Procter & Gamble amongst several others. Box will go public with a solid enterprise backing at least.
Cloud storage has slowly become a crowded marketplace. Competitors include - Google Drive, Microsoft SkyDrive, Box in the consumer sector, while in the enterprise sector there are – GroupLogic’s activEcho, SurDoc and ownCloud. All eyeing the same set of audience.
Dropbox has raised $257.2 million from Sequoia Capital, Goldman Sachs and others so far. It may be too early for the company to hit the IPO button. Dropbox still needs to nail the enterprise market.
[Image Credits: Dropbox]