Re:Dropbox acquires Hackpad (YC W12)
by kenjackson on Thursday April 17, 2014 @09:05PM
(#7607466)
Advertising I'd their cash cow. Google's original business model was enterprise search. It took them a bit of time to land on their current business model m
I think many people forget that Google wasn't really sure how to make money until they completely changed online advertising with AdWords/AdSense. Everyone else was content with your standard banner ads and rates. Google made those relevant to the search context. Since that time they have made money hand over fist.
What I don't understand about these acquisitions is how tangential it is to Dropbox's original value prop of being a "dumb" folder that would magically sync all of your files and stay out of your way. Now, instead of Dropbox passively running in the background and letting me do my thing, they want me to start actively engaging with the software.
I agree that it's necessary and overall a smart move, but still a very large and difficult pivot to make.