Jan 25

Unlimited Cloud Storage – A Compromise on Reality

unlimited cloud storageMany cloud storage providers try to promise unlimited cloud storage to their customers so that you can get a boundless space for storing your documents on the cloud. But history has shown that these promises are broken and the reality often comes in the way. The providers promise you unlimited space on their servers so that you never need to think what a gigabyte holds.

But the fact and the reality are different and these companies are not able to hold up their promises till the end. The main reason is that these companies are shocked by an overwhelming response of the customers who consume an unexpected storage which these companies are not able to withstand. A recent example is the Microsoft Company which discontinued its OneDrive unlimited storage on cloud plan just a year after the start. Microsoft is not just one example but there are many others which failed to keep their promises on unlimited facility for cloud storage and ended up the offer.

Why unlimited cloud storage offer fail?

Why does this unlimited cloud storage offer promise is broken by every company which starts with a solid promise trying to be the best cloud storage service? The cynical reason about this fact is that it is just a marketing trick to capture the customers and there is really no company which intends to keep this promise for the long term. But when we talk to these cloud based storage solutions who have abandoned the unlimited cloud storage, the reality is different. They say that they were actually motivated by the marketing power of “unlimited” word but they have incorrectly made assumptions on the consumer behavior.

Providing unlimited storage to unlimited number of customers is also not possible at a technical level. Every cloud storage company has to pay for every gigabyte of storage used by the consumers and this cost goes up when the consumers consume more and more storage. The main assumption made by the cloud storage providers is that they think that their costs will be compensated by the low volume users who will be profitable enough for them. Bitcasa a cloud storage company also learned the harder way and realized that its unlimited model will not work after seeing the sheer demand from the heavy users. The company raised its unlimited prices from $99 per year to $999 per year after realizing the fact.

Bottom line

Despite this difficult looking scope of unlimited cloud storage, this model of a cloud storage business is not completely impossible. Some services like Carbonite and BackBlaze are doing it for years. These companies have taken many technological solutions to cut their own costs in storing and have taken a number of steps and solutions to save money on using expensive equipment.
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