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Here are some highlights from the interview. I've heard that from other executives, [ What is the finish line for you? Well if you think about the state of the world, the state of cloud, and the state of work today, we see lots of problems that are unsolved.
The first one, that we're focused the most on, is around enabling teams to collaborate regardless of what operating system they have, what device they have, around their most important intellectual property, which often is a file.
The Golden State Warriors — they have to collaborate around scouting reports, and they do all that in Dropbox. Or Expedia has to collaborate with its hotel partners around photography or imagery that's going to go on their site, and that all happens on Dropbox. So that's a big problem. We think it's still pretty early in the adoption of cloud generally. More than three quarters of our users are outside of the US. There is a big international opportunity, just with Dropbox, the product we all know and love.
And then we see opportunities in collaboration around that content, and the first product that indicates the direction we're excited about is Paper. Paper is a collaborative text editing tool. It's super easy to embed anything in your Dropbox into a Paper.
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And teams like the team that produces Saturday Night Life use paper to produce that show. They're embedding images of wardrobe and video cuts and project cuts. It's a much more way of working together than a lot of the other tools that are out there.
So that's where we're heading — How do we enable teams to be more effective and creative through technology? So you're looking more at growing your collaboration tools than enterprise storage?
Our business certainly started out as, "let's move all files to the cloud so that you can access them anywhere. There are other solutions that provide that. We get paid for the collaborative elements of Dropbox.
For sharing content, enabling you to view content on any device. For all the integrations that we've built with Salesforce and Autodesk and Microsoft products.
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So it's super seamless to pull a document from Dropbox and work on it, and get some work done. Storage is really a starting point for a much broader opportunity that we're focused on. We've built the enterprise "grade" security features, functionality controls. Those are table stakes to be able to compete in larger and larger businesses, but that's not necessarily what's going to drive users to move to Dropbox. So we focus on the end user. We deliver value for that end user.
Of course we can provide the security that IT needs, but it's that end user focus that differentiates us. Dropbox isn't profitable but it's fully committed to its free service tier Peterson: Dropbox has a freemium model for consumers. We see this at Spotify too, which is also going public soon, where neither company is profitable, and you both have this freemium model.
Do you think that's a necessary part of your business model, or do you ever see Dropbox phasing out that model? The million registered users are important to us. They create network effects that are how we grow. People sign up for Dropbox. Usually they find out about it from a friend.
Then they share a file with another friend and that friend signs up. What happens in many businesses, you already have many people using Dropbox as an informal solution before they even pay us. So those users effectively are sales people over time. And that enables us to spend less on sales and marketing than our competitors.
You joined Dropbox in How has the company changed? Are there any big programs that you think have been important in your time there? We've grown a lot. We were about people then and now we're about 2, Revenue has roughly quadrupled. From a business standpoint, Dropbox Business existed and was pretty nascent. We had not built some of the controls that were required to compete in larger and larger teams.
So we have done that and obviously we're winning in the market lots of larger companies. I think from a cultural standpoint, Drew and Arash have been really focused on preserving the culture, codifying the values, trying to make sure that as we grow, we don't lose touch with those values. And that goes from who do we hire, to who do we promote, to how do we evaluate people? Can you share what those values are?