The Storm Ventures investor Anshu Sharma claims that Dropbox has lately been making disastrous choices regarding it’s business. By giving way too much attention to storage, they have completely been ignoring customer features that are the major element for an industry to excel.
Anshu Sharma coined the word “Stack Fallacy” to elaborate his point. In simple words he was trying to say that a number of ‘stacks’ of technology lie between the server and end user. Companies like Dropbox tend to underestimate the value of building these stacks/layers. They live in the illusion that they have done enough and don’t put in effort to produce a better product or service.
Not long ago, Dropbox abandoned some of it’s considerably popular apps like Mailbox and Carousel. Then they announced that they are on their way to building personal data centers to remove data from Amazon Web Services Public cloud; this appears to be quite an extravagant move in terms of money.
It is evident that Dropbox is struggling to enhance it’s position in the market with a worth of less than $10 billion at present.