iCloud is primarily a data storage service for documents, photos, and video. The service also includes backup and restore functions as well as "Find My iPhone." As of last July, Apple claimed 320mn users, which are granted up to 5GB of free data with pricing at $0.99/mo for 20GB up to $19.99/mo for 1TB.
Last September Apple lowered its iCloud pricing 60% to align the service closer to Google Drive pricing. With a number of competing services available to iOS users, we assume a high single-digit user attach rate and an annual ASP slightly above first-tier pricing.
