Dropbox worth 8 billion

Dropbox the cloud storage service is looking to raise an additional $250 million dollars with a valuation around $8 billion. This round of fundraising follows Pinterest's latest round, which raised $225 million with a value of $3.8 billion. There has also been lots of hype over Snapchat and their most recent turn down of offers.

Dropbox has already raised $257 million dollars over the last 5 years. Dropbox is looking to raise another $250 million in the next few weeks. Dropbox currently has 200 million private users and 4 million business users. Dropbox has yet to expend all of the money they raised in their last round of fundraising.

So why does Dropbox need a new infusion of capital. First off in the past they have mostly been spread by word of mouth, but as they grow and try to expand their entrepreneurial services they will need a sales team as well as new technology to support a higher level of quality and more services. Both of these things are expensive. Second they are already competing against big names like Google, Amazon and Microsoft for the same space.