QBO is growing customers quickly but it is at the expense of its desktop product. Add to that the fact that lots of small businesses dont currently using accounting software so there is plenty of room for them both in the market. My view is XRO will be a success. Whether the valuation is correct is a different question.
And this just popped up on Twitter:
Attachment 7558
https://twitter.com/Xero/status/636386934198247424