Earlier quoted context omitted.
I think you're missing the point. On their website it says " Dropbox employees aren't able to access user files, and when troubleshooting an account they only have access to file metadata (filenames, file sizes, etc., not the file contents) " and in their terms of service they say that they will turn over files to a government agency if subpoenaed. The problem isn't security theater, it's the fact that both of the ab…
I would be cautious in making the conclusions. Technically, it's quite trivial to implement precisely what you say is impossible. How: give the private key of an RSA keypair to US Govt; use the public key of that keypair on the clientside to encrypt the key that is used for the symmetric encryption of the contents of the file. The employee on the other end will be able to see the metadata, but he will not be able to…
When I started my own law practice, my partners insisted that "everything must be encrypted" so that no third parties would have access to see any files. I had a feeling my partners were parroting this requirement and didn't really understand how security works. I tried to explain the pros and cons of this approach, but my warnings fell on deaf ears; the requirement was absolutely total encryption of all file data so that no third party could even theoretically peek at our data.
So, I set up JungleDisk backups to S3 with a key that only I knew about. This was an awesome solution that cost a few bucks per user per month.
Not long afterward, one of my partners insisted on having his home PC and his laptop synced. At the time, JungleDisk didn't offer syncing.
Sure enough, a few weeks later, I find out that the same guy who insisted I encrypt everything was secretly using Dropbox to sync his files. (I won't even get into the fact that he was backing up his sync folder to my JD solution!)
In summary, idiots are idiots, and security is often misunderstood.
By the way, I'm no longer working with people who fail to understand security, and we've got what I suspect are the most innovative, cost-effective and secure backups at any law firm in the world.