Secrets of the SNAFU Behind the Name "Cloverfield"S

Director Matt Reeves dropped the news that the name Cloverfield came about entirely by accident, almost like playing a game of telephone.

Reeves says:

When we started the project there was going to be an announcement in the trades. In this case, they wanted to keep everything under wraps. So the movie was going to be made under this outside corporation that was basically a property of Paramount. That corporation had a name that I don't know the name of. I think Clover was the first part of it. Maybe it was Cloverdale. When Drew [Goddard, LOST writer] was putting a name to the project, there was supposed to be a name for the project like there was for The Manhattan Project. So he said, "I am going to use that weird mysterious thing," and he misheard it. He didn't even understand that it wasn't Cloverfield, it was Cloverdale. Maybe that was because of the street by J.J.'s old office, but the truth is he just misunderstood it.
Just like Nome, Alaska, eh? Not that it changes the story much, and he still doesn't tell us anything about the Slusho connection, dammit.