> I’ll never understand why Dropbox avoids the smaller tiers for personal accounts. They have to be missing out on a sizable market.
Magic Pocket [1] makes the storage one of the cheaper parts of their capex/opex, so it's more prudent (hopefully backed by data on their side) to throw storage at users while pushing the average revenue per consumer user up. Could they lower the price while delivering less storage? Sure! Would they achieve the same margins? I'd hazard a guess they've run the numbers and the answer is no.
[1] https://blogs.dropbox.com/tech/tag/magic-pocket/