Evernote is the latest Silicon Valley company to hit the $1 billion valuation mark after raising a reported $100 million. I’m not a venture capitalist, but from a user’s point of view I can certainly understand why Evernote deserves to be in the billion dollar club.
Evernote’s primary product helps people take notes and remember things. As of December 2011, Evernote reported that it had 20 million registered users, including 750,000 premium users. Premium users pay just $5 per month and enjoy features such as offline notebooks and higher upload limits.
An app that takes notes might sound boring, but Evernote’s managed to build an app that many of its users can’t live without. If Facebook’s willing to pay a billion dollars for Instagram, a company with 30 million users that apply filters to their photos and share them with friends for free, it’s easy to argue that Evernote is worth the same.
Taking notes might sound mundane, but Evernote’s one app that simply cannot live without. The service is my digital filing cabinet, white board and note pad. The more information users like myself upload to Evernote, the more valuable the service becomes to users.
We first started following Evernote when it launched about three years ago because of Rite Pen, a Tablet PC note taking application. It’s been very interesting to watch as Evernote’s morphed from a relatively simple note taking app into a full-blown platform.
Evernote has a lot of raving fans and I suspect there will be many more in the near future. The company consistently provides an excellent user experience and pushes out elegant mobile apps. The Evernote iPad app is one of my favorite iPad apps.