Xdrive, we’ll take you…

It was over two years ago when we saw that our traffic was starting to surpass the industry’s incumbent, Xdrive. This was very exciting for us because Xdrive had truly paved the way for people putting files and information online, well before it was the cool thing to do. In many respects, we owe a lot to the company - we learned from many of their steps (and missteps) along the way. But as with any changing industry, new players emerge and old players become less relevant - only those that continue to innovate and answer the needs of users are able to maintain prominence (see ifilm:youtube or classmates:facebook).
As internet dead-pooling goes, it looks like Xdrive is now on the brink of closing up (or selling). We’ve seen a few other closures this year (Strongspace, Mediamax), but we’ve also seen relatively interesting success stories recently (Mozy, Swapdrive, Koral) to prove that the space is ever important and relevant.
If they’re willing, we’ll happily offer a smooth transition for Xdrive users to Box.net. As comparable services come, we definitely have the most to offer their userbase in the way of functionality, cost, and scalability.
I’ll also chime in, for a brief moment, on the importance of a sturdy business model in any market. At Box.net, we realized early on that our revenue must come from business subscriptions, not from advertising. While this seems like a no-no in the Web 2.0 crowd, it’s the foundation that has turned guys like Salesforce, Webex, and Skype into billion dollar businesses.
Update: For old Xdrive customers, if you want to get started with Box.net immediately, simply visit http://www.box.net/ref/xdrive and enter the coupon code “xdrive” when you sign up for a 20% discount.
- Aaron Levie
aaron@box.net

