I think the point is that they're targeting the general public. I see why - the balkanized UI for zillions of services and storages can easily overwhelm the user. Having one file structure for their files synced between the client, the local server, and public web-server autmatically would have some appeal to the average low-security user.

Users don't care about privacy. They care about being able to send photos. And having seen people fail miserably at sending photos in a million different ways, I see how this company can succeed.