We are about to open a minecraft hosting company.
We have done almost everything already now, Im interested if there is still money to be made. Is this a living market still?
We are running great Xenon servers, and will literally have lower prices then any other host we have checked.
We know what were doing, and have been running servers and been with minecraft since it started.
Good question. I can only give this advice in public:
"If the prime concern of the user in a market is the price, then it is likely not a good market to be in"
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Besides the facts that other members have made, like oversaturated niche, I'll give you one tip from my personal experience in game publishing. The hype will be be over sooner or later. It doesn't matter how popular Minecraft is today, it will come to a point that it will no longer be interesting to consumers, so the only question you should ask yourself "How much can your earn from this right here, right now".
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Provided you have good spec, minecraft hosting will kill your hardware very fast.
There many player in Minecraft hosting, you may need time to expose yourself in many game forum to build up popularity.
Otherwise, not easy for you to sustain or compete with other host.