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Safe House

Online data storage ain't free anymore, but your company still needs it.

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This story appears in the August 2001 issue of Entrepreneur. Subscribe »

Free? You want free online storage? Of course you do. We've all been taught to regard free Internet this and that as our right. (The only cure for that line of thinking seems to be to start your own Web business.)

But, like so many other dotcoms, online storage providers are learning they can't rely on Web ads or relationship-marketing newsletters to cover their costs. When Net advertising waned earlier this year, online storage companies' free users suddenly turned from assets into overhead. In dotcom parlance, they couldn't be "monetized."

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