Storage, storage everywhere
Sure, most of these services mostly work. Dropbox, in particular, is a decent way to keep all your files on hand wherever you go. The issue with syncing and storage is with the competition: There is no end to it. This sector dangerously flaunts Warren Buffett's critical investing maxim: "In business, I look for economic castles protected by unbreachable moats."
Buffett likes things, utilities or railroads for example, that have serious barriers to entry. That certainly doesn't exist in the storage and sync market. Everyone can, and does, offer this service.
Known document collaboration players such as Google, Microsoft, Zoho and Sync.in offer fairly powerful document storage and sharing. Security companies such as Symantec (SYMC), online collaboration tools including LiquidPlanner and data backup players such as Carbonite (CARB) and Mozy all feature rich backup and sharing products. Even retail giant Amazon (AMZN), with its Kindle offering, has sophisticated document storage.
And that's just software companies. Legions of hardware makers now toss sophisticated sharing, storage and content tools into their machinery. Cisco (CSCO), HP (HPQ), Lexmark (LXK) and Xerox (XRX), just to name a few, now have content storage and exchange services built into their devices as a gimme to drive sales of routers, servers and printers.Want to get a feel for the utter endlessness of the storage and sync world? Try this industry map a fellow named Robin Good cooked up. It graphically lays out all the collaboration tools he could find. I stopped counting after 200 companies, and this is by no means a complete list. Each and every one of these offers at least some form of content syncing, collaboration or file storage, or it would be dead easy for them to quickly add the features they don't have now. Not a moat in sight
Google Drives over the edge. Google Drive is a reasonable file sharing and syncing service. 5 GB of storage is generous -- you can even get 16 terabytes of storage if you desire; it can sync most any file across PCs, Macs and mobile devices; and Google Apps users will find it handy, if a bit of a pain to migrate too. But it won't matter. No matter how clever Google Drive is, there is nothing to stop any digital Tom, Dick or Harry from setting up a competitive syncing and sharing service. And that, friends, means syncing and sharing will eventually devolve into a free, profit-starved service. Google Drive, Dropbox and all the rest are nothing more than vortices spinning in a draining tub. Fascinating to look at, fun to put your finger in the middle of. But in the end, nothing of substance drives the action. If that all seems terribly skeptical, well, that's me, The Digital Skeptic. (Trademark.)
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