Dropbox Inc. announced that Ashraf Alkarmi has been promoted to co-CEO alongside founder Drew Houston. Following a transition period, Alkarmi will become sole CEO while Houston moves to the role of executive chairman.

Houston shared the news with employees in an internal email, stating that Alkarmi has "done an incredible job transforming our core business." Houston noted that under Alkarmi's leadership, "the business has been getting stronger every quarter."

Alkarmi previously led Dropbox's core business operations and has experience at Amazon and Vimeo. Houston highlighted Alkarmi's background building products for creative and content-focused customers, as well as his leadership on artificial intelligence initiatives.

The leadership change comes as Dropbox reports its business is "in a stronger position than it's been in years," according to Houston's employee communication. Houston stated he will work alongside Alkarmi during the transition period.

Houston founded Dropbox in 2007 and has served as CEO since the company's inception. The file-sharing and cloud storage company went public in 2018.

The company plans to hold an employee meeting to address questions about the leadership transition, according to the internal communication.