Cloud Computing Gets Bigger As Dropbox Doubles Capacity Of Online Storage

Cloud computing just got a shot within the arm as online storage organization Dropbox decided to double the capacity of its offerings to consumers without hike in prices due to intense competition and likewise offers a brand new 500GB service plan at $499 a year.

A report published in  Computerworld  cites how the corporate is under increasing pressure from competitors to supply additional capacity at its current pricing. Except for traditional consumer online storage services corresponding to SugarSync, Carbonite, Mozy, new deep-pocketed players inside the arena including Microsoft , Apple and Google are forcing Dropbox to stand the warmth.

Microsoft with Azure, Apple with iCloud and Google with its Drive offering appear to offer greater than Dropbox in relation to price-to-value ratio.

For instance, earlier than the change effected July 10 evening, Dropbox 100GB package cost $99 per year, while 200GB package cost $199 per year. The Dropbox Team package including administrative tools is billed at $795 for as much as 1TB and five users.

In contrast, Google’s storage offering Drive included 5GB free capacity that permits an upgrade of 25GB for $2.49 a month, 100GB for $4.99 a month and 1TB for $49.99 a month. With a paid account, the storage capacity of user’s Gmail account also expanded to 25GB. On annual basis, the 100GB package costs $60.

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The announcement from the  official website of Dropbox  makes it appear as if the storage company doubled its paid allotments as a customer support. However, it’s far pretty clear that market forces are compelling the storage firm to revisit its strategies and offerings.

Commenting at the development, Gartner analyst Michael Gartenberg has told Computerworld, “Certainly, when Google came into the market with Drive with four times the storage for what Dropbox was offering, i am not surprised to determine a shift in pricing for them to stay competitive.”

But it needs to be noted that Dropbox isn’t the first company to slash prizes. Early, in March, Microsoft slashed the cost of its cloud storage services as did Amazon with Elastic Compute Cloud.

Elaborating at the price cut, Gartenberg goes directly to add: “As large players similar to Apple, Microsoft and Google have become into this space and may really drive the prices down, it may be key for corporations like Dropbox to be certain they don’t seem to be overpriced when it comes to consumer perception and to continue to come back up with added services.”