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View Full Version : Co-location where you pay "sustained usage"


StephenRS
07-03-2001, 05:04 PM
I just don't get it. I approached he.net about co-loction (Fremont California).

They do the sustained bandwidth pricing plan. If you can PERFECTLY control the output. You basically have full bursts on a 10Mbp port but they charge you $100 per 0.1Mbps over.

Their prices: 128Kbps ($200 mo), 0.5Mbps ($400 mo) or 1Mbps ($500) , 2Mbps ($1000 mo).

"For Colocation we bill only for your "Sustained Usage" (95%) and not average. We basically take samplings of your bandwidth every 5 minutes 24/7 and throw out the top 5% of your highest months bandwidth. This
equates to about 35 hours per month of your highest bandwidth being thrown out. The balance then becomes your sustained usage, which ever is
greater, in-coming vs out-going."

===========

Is it just me, but it seems NUTS to run a web site that is billed this way. How can YOU control how much traffic your web site users are going to generate?

What if your "little cottage web site" gets put on Slashdot.com / CNN.com, etc? You would be killed!

I just don't get this style of pricing... it seems to make no sense... as I have run many large web sites and know that traffic changes day to day / week to week / hour to hour --- how would you know what you need UP FRONT?

DavidU
07-03-2001, 05:11 PM
Originally posted by StephenRS
I just don't get it. I approached he.net about co-loction (Fremont California).

They do the sustained bandwidth pricing plan. If you can PERFECTLY control the output. You basically have full bursts on a 10Mbp port but they charge you $100 per 0.1Mbps over.

Their prices: 128Kbps ($200 mo), 0.5Mbps ($400 mo) or 1Mbps ($500) , 2Mbps ($1000 mo).

"For Colocation we bill only for your "Sustained Usage" (95%) and not average. We basically take samplings of your bandwidth every 5 minutes 24/7 and throw out the top 5% of your highest months bandwidth. This
equates to about 35 hours per month of your highest bandwidth being thrown out. The balance then becomes your sustained usage, which ever is
greater, in-coming vs out-going."

===========

Is it just me, but it seems NUTS to run a web site that is billed this way. How can YOU control how much traffic your web site users are going to generate?

What if your "little cottage web site" gets put on Slashdot.com / CNN.com, etc? You would be killed!

I just don't get this style of pricing... it seems to make no sense... as I have run many large web sites and know that traffic changes day to day / week to week / hour to hour --- how would you know what you need UP FRONT?


I had the same talk with some techs there. If it were me, I would just throttle my network card to 1mpbs or something...seems weird though....

It isn't weird to pay for a "speed" as opposed to transfer -- it is weird to make me be in charge of it though.

-davidu

jayglate
07-03-2001, 05:11 PM
Stephen that is the way EVERY higher tier provider gets biled, I get billed that way, burst gets billed that way, Dialtone gets billed that way. Only the end user you in most cases don't get billed that way. But believe me, we would love to bill you that way. It would make our lives, and our math alot easier.

Lets say we pay $200 per meg on 95th billing
On average billing it roughly costs us $320 to server up 1 meg billed on average or roughly 320 gigs of traffic.

So you might see our cost here at $1 per gb but in reality it is $1.6 per GB. But with backhaul and routers and good providers, getting $200 per meg is not a very likely occurance. That means for us to charge you $1 per gb in be inline with 95th we would need to pay our upstream providers $125 a meg which just isn't going to happen, unless you get really really cheap sub-par transit. Like globix or something but then you are even pushing the ability to get $125 per meg.

RackMy.com
07-03-2001, 05:22 PM
Jay is correct, most larger colo/bandwidth providers charge for bandwidth by the 95th percent rule.

DavidU
07-03-2001, 05:41 PM
Originally posted by RackMy.com
Jay is correct, most larger colo/bandwidth providers charge for bandwidth by the 95th percent rule.

A lot of providers are switching to a more appropriate 90% rule.

-davidu

jayglate
07-03-2001, 07:47 PM
The only one that is doing that is level3, So if you know more, I would love to hear who they are.

DavidU
07-03-2001, 07:50 PM
Originally posted by jayglate
The only one that is doing that is level3, So if you know more, I would love to hear who they are.

yeah, l3 does it, I think globix is doing it and I think new york internet.

I hope verio switches soon.

note to verio customers in san diego. Their bandwidth monitoring will be broken for bout two months and they won't know what you are transfering...they will have a rough estimate but it will err WAY WAY WAY on the low end -- more like 60 percentile or less.

That's just what I heard from my cisco guru friend who works at Verio and sets up their monitoring turnstyles.

-davidu

StephenRS
07-03-2001, 07:52 PM
Whoo hoo, time to put that pr0n site up!