Because the need to meet ROI always leads to selling data.

Raising hundreds of millions of dollars for a built, profitable product with a tight scope and millions of users usually means the product scope will increase as part of their new remit to drive shareholder return. If people liked the existing tightly scoped product, and for password management simpler is better for many users, this investment indicates the product will necessarily move away from the existing use cases as a condition of accepting the funds.

I think lotsofpulp is on to something, but the other major possible answer that comes to mind is moving more into the enterprise space. If that happens, it'll no longer be for "us" because if they succeed, they'll inevitably make much more money in that space and be all but forced to pivot harder into it. That'd be much less of a betrayal than selling more data, but it would still mean that slowly but surely it would simply focus less and less on single user concerns.

IMHO it isn't intrinsically impossible to serve both enterprise and single customers, but the business people will always be internally grumbling about the slight additional expense that doesn't have a good ROI vs improving their enterprise product, and the marketing team will want every other screen to be an ad to upgrade to enterprise which discriminating users will rapidly get tired of. It'd take strong and even a bit quirky executive leadership to overcome those issues. Not impossibly strong, but strong.

Edit: Also, they don't have the option of slathering their app with generalized ads. Running ads in the context of a password manager would be insane and lose all their thought-leader users in a heartbeat, permanently. So that door is not open to them.

1Password is a SaaS utility that provides a tool for generating and storing login info and other sensitive information.

To me; that’s immensely valuable, but it’s solved for most by a combination of just using the same passwords or, on iPhones, iCloud Keychain.

Now some folks have dumped the better half of a billion into a tool I pay about $35/year for and is basically feature complete. They’ll want a return on their investment. How do you expect 1Password will give it to them?

Nerds.

Everyone not part of the set who have just invested $620,000,000 between them.

Which probably means the vast majority of their users have essentially been regraded to “product”.