No, he is saying it cannot compete with DropBox/box.net/etc - those are very good products that focus on cloud storage/backups, not 'secure' sharing of files; and the only way for it to make money is through it's affiliate program, which is very likely to cause legal trouble.
Right now it is not competing with DropBox at all, since it doesn't offer client apps or effortless syncing.
Right now it is not competing with DropBox at all, since it doesn't offer client apps or effortless syncing.