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  1. #1
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    BurstNet CPanel Price Increase

    I was entertaining the idea of moving from Burst during the last large outage they had. Now they are increasing the price of CPanel for existing and new customers which has me thinking again. It may be time to switch over to SM since they are currently offering all control panels for free and I don't see them raising prices for customers that purchase thier specials. What is everyone's thoughts on this?

    04/21/2004

    BurstNET Clientele:

    Please be advised that the price of internal CPanel licenses will be increasing to $19.95/month, from $9.95/month, as of June 1 2004 service periods *. This price increase is necessary due to BurstNET's increased costs of providing this software to our clients. This price increase affects all current and existing clients/services, as well as future orders. The price of external CPanel licenses will not be increased. Please be aware that the $19.95/month pricing is still the lowest in the budget hosting industry, and on par with what most other providers are charging. The majority of the industry raised their prices to $19.95/month as of January 1 2004 for internal CPanel licensing, and we find it necessary to follow suit at this later date.

    As an alternative to the increased price of CPanel, BurstNET is now offering our clients the Direct Admin (http://www.directadmin.com) control panel at the continued low price of $9.95/month. We understand that some of our clientele are on a tight budget, and we wanted to provide an alternative to the CPanel price increase with another solid control panel product. Any client wishing to switch from Cpanel to Direct Admin should please contact our Customer Service Dept via email at [email protected].

    * Service Agreement - Section 2.4: "BurstNET reserves the right to change fees, surcharges, monthly membership fees or to institute new fees at any time upon thirty (30) days' (of end of current contract term) prior notice to Client."

  2. #2
    Just switch to directadmin.

  3. #3
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    My thought on this: CPanel's lowest current pricing, as far as I've been able to find out, is very close to $20/month. Any company offering it for less than that is losing money on each license, including Burst. SM is losing around $20/month profit on each server by providing free CPanel, Burst & Dinix are losing ~$10/month profit. If anything, the extra $10/month Burst is raising the rate to will help Burst provide a stronger network by funneling more cash into the company. $10/extra shouldn't kill you if you're at Burst, especially with the low cost for the server specs that you're getting, and they're also offering DA at the $10 price to help those who can't afford the $10 extra.

    From a business perspective, this will help Burst financially, and help them to improve their network (new backup fiber, more providers, etc.), while it won't cost customers much more.

    -Josh

  4. #4
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    Wow, WHT's finally back up!

  5. #5
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    Joshua, you shared Burst's perspective. Now let's take a look at the customer's. $10 per month is a lot to some people...especially those that have several machines. I personally ordered a server from them because CPanel was being offered free at the time. It is now possible for me to aquire a server with better specs including free CPanel for less from ServerMatrix. Not to mention their network is far superior to Burst's. I have servers at both places, so I can state that from experience. The only thing that stopped me from switching during Burst's last large outage was the task of migrating the data. That task is now seeming more worthwhile.

  6. #6
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    This is a great argument for asking a hosting company for a contract that promises that prices aren't going to rise for a certain time-frame (i.e. 12 months). Just a thought... might be something to ask for with your new host if you do decide to move.
    Robin Balen
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  7. #7
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    Originally posted by Xenos
    Joshua, you shared Burst's perspective. Now let's take a look at the customer's. $10 per month is a lot to some people...especially those that have several machines. I personally ordered a server from them because CPanel was being offered free at the time. It is now possible for me to aquire a server with better specs including free CPanel for less from ServerMatrix. Not to mention their network is far superior to Burst's. I have servers at both places, so I can state that from experience. The only thing that stopped me from switching during Burst's last large outage was the task of migrating the data. That task is now seeming more worthwhile.
    Just wondering, what server specs do you currently have, and what will you be getting at SM?

    -Josh

  8. #8
    I'm afraid of loosing customers if I don't offer Cpanel. It's almost like calling all tissues "kleenex". It's a familiar name.


    <<Signature to be setup in your profile>>
    Last edited by anon-e-mouse; 05-11-2004 at 09:41 PM.

  9. #9
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    I've seen DirectAdmin skins that can give CPanel a run for its money

    -Josh

  10. #10
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    Re: BurstNet CPanel Price Increase

    Originally posted by Xenos
    It may be time to switch over to SM since they are currently offering all control panels for free and I don't see them raising prices for customers that purchase thier specials.
    It's because cPanel internal licenses costs a bit more, and you won't find it for lower then $19.95. If you really wanted cPanel paying an extra 10 bucks won't matter. If so, just do to a better and more stable control panel like DirectAdmin.

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  11. #11
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    Re: BurstNet CPanel Price Increase

    Originally posted by Xenos
    It may be time to switch over to SM since they are currently offering all control panels for free and I don't see them raising prices for customers that purchase thier specials. What is everyone's thoughts on this?
    They have a month-to-month contract as well, and can raise your rates at any time.

    -Josh

  12. #12
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    I have a measley Celeron 1.7 and CPanel was free when I ordered it. I highly doubt ServerMatrix would offer a deal for a free control panel then charge the customer that signed up for it extra down the road. Pretty sure I have seen Jeff say the price/features are good as long as you keep the server.

  13. #13
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    Originally posted by Xenos
    I have a measley Celeron 1.7 and CPanel was free when I ordered it. I highly doubt ServerMatrix would offer a deal for a free control panel then charge the customer that signed up for it extra down the road. Pretty sure I have seen Jeff say the price/features are good as long as you keep the server.
    Yeah, thats true, but they still hold the right to change the prices whenever they see fit.
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  14. #14
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    Could I have some non biased replies here? There have so far been 2 Nocster resellers giving their biased opinions. I would like to hear from a customers point of view that is in my situation.

  15. #15
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    Wow, why is everyone complaining? Its $10 for crying out loud! If you have not covered yourself in your plan pricing for fluctuations in the prices you are paying you need to go to business college quite frankly.

    I am moving all my hosting servers to Europe from the US which is going to cost me a lot more (for instance each server is now on its own 10Mbps connection whereas my US servers are shared), as well as the fact I now have to get external cPanel licenses at $55 a pop instead of the subsidised $20 a pop I have been used to paying. Yes it does mean I wont be making as much profit but in my initial costs and calculations for the business plan for my company I have covered myself for price rises, so much so I still have a little bit extra for more price rises in the future.

    But then im not offering everything for 1 or 2 dollars a month because its a business im running....
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  16. #16
    Its only 10 dollars. But still, its alot of money. The hassle is gonna be fixing all the PayPal subscriptions for my clients. I hope WHMAP comes out with the new version before then.

    -Fred

  17. #17
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    ServerMatrix offers cPanel for free? All the servers I've looked at there charge $20 a month extra for cPanel.
    Karl Zimmerman - Steadfast: Managed Dedicated Servers and Premium Colocation
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  18. #18
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    Originally posted by Sash!
    Wow, why is everyone complaining? Its $10 for crying out loud! If you have not covered yourself in your plan pricing for fluctuations in the prices you are paying you need to go to business college quite frankly.

    I am moving all my hosting servers to Europe from the US which is going to cost me a lot more (for instance each server is now on its own 10Mbps connection whereas my US servers are shared), as well as the fact I now have to get external cPanel licenses at $55 a pop instead of the subsidised $20 a pop I have been used to paying. Yes it does mean I wont be making as much profit but in my initial costs and calculations for the business plan for my company I have covered myself for price rises, so much so I still have a little bit extra for more price rises in the future.

    But then im not offering everything for 1 or 2 dollars a month because its a business im running....
    Think I'm the biggest complainer You bring up a good point. Thing is my server is for personal use only, so having a business plan does not apply to me. This hits people harder that are on a strict budget.

  19. #19
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    Originally posted by KarlZimmer
    ServerMatrix offers cPanel for free? All the servers I've looked at there charge $20 a month extra for cPanel.
    ServerMatrix is currently having a WHT special where all of their control panels are free.

  20. #20
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    Originally posted by KarlZimmer
    ServerMatrix offers cPanel for free? All the servers I've looked at there charge $20 a month extra for cPanel.
    It's a limited time offer they are having for WHT memembers.
    http://www.webhostingtalk.com/showth...hreadid=262459
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  21. #21
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    Originally posted by HiyaCorp
    Its only 10 dollars. But still, its alot of money. The hassle is gonna be fixing all the PayPal subscriptions for my clients. I hope WHMAP comes out with the new version before then.

    -Fred
    Its not a lot of money if your pricing is sensible. One client on my cheapest hosting plan would almost cover the extra cost, 2 more clients would exceed it. Sensible pricing is the key to success in business. Being ready for the pitfalls that can happen in business (such as a $10 price rise) also helps a lot....
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  22. #22
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    Originally posted by HiyaCorp
    Its only 10 dollars. But still, its alot of money. The hassle is gonna be fixing all the PayPal subscriptions for my clients. I hope WHMAP comes out with the new version before then.

    -Fred
    Yeah, it is a hassle for updated the payments, website, sales, etc..
    But, it has to be done.
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  23. #23
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    Originally posted by Xenos
    Could I have some non biased replies here? There have so far been 2 Nocster resellers giving their biased opinions. I would like to hear from a customers point of view that is in my situation.
    I have a server of my own with Nocster (At normal pricing - I pay $110/month at the moment), and I'm affected by the increase as well. Changing PayPal subscriptions is going to be a pain, but luckily a lot of our clients have moved to our merchant account where we can increase the price much easier.

    -Josh

  24. #24
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    Sash!, would you not switch hosts if your current host had been plagued with outages and raised their prices $10 when you could switch to a host that has a stable network and costs less?

  25. #25
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    Originally posted by Xenos
    Sash!, would you not switch hosts if your current host had been plagued with outages and raised their prices $10 when you could switch to a host that has a stable network and costs less?
    Well theres no point coming on WHT to have a moan and groan about it. Move. Simple as!

    Moaning about it on WHT wont make a blind bit of difference to BurstNET/Nocster, they are running a business not a charity, if they are heavily subsidising a product and losing money on it due to a price increase by their supplier, im afraid as a business they will need to absorb the price increases at sometime by increasing their prices.

    As I said, their a business, and have been in business for a long time. They have not stayed in business by losing money surprisingly
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  26. #26
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    Wow, why is everyone complaining? Its $10 for crying out loud! If you have not covered yourself in your plan pricing for fluctuations in the prices you are paying you need to go to business college quite frankly.
    If you can't afford an extra $10/month, you shouldn't have your own server. At Nocster, if you mess something up big time or need a reformat, you're going to end up paying $65 for that. Would you just shut down at that point?

    Anyway, EV1 raised their CPanel pricing to $20/month with advance notice (although they mentioned that at the beginning). Nocster is doing the same thing, there's really no big deal. I wish I could eat the cost for my customers, but at these margins (for the WHT crowd), I just can't do that. If the servers were priced at a higher rate, I could probably swallow the extra $10. I don't think any of my customers will have trouble paying that extra $10 while at the same time keeping their business running.

    - Matt

  27. #27
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    Originally posted by Sash!
    Well theres no point coming on WHT to have a moan and groan about it. Move. Simple as!

    Moaning about it on WHT wont make a blind bit of difference to BurstNET/Nocster, they are running a business not a charity, if they are heavily subsidising a product and losing money on it due to a price increase by their supplier, im afraid as a business they will need to absorb the price increases at sometime by increasing their prices.

    As I said, their a business, and have been in business for a long time. They have not stayed in business by losing money surprisingly
    I couldn't have said it better myself. What you outlined are some of the basics of business. Making money = good, losing money = bad.

    - Matt

  28. #28
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    The point I was trying to make is that they will be losing even more business due to this. They lost a significant number of customers when their entire network was recently down. Charging the faithful customers that stuck with them through that $10 extra per month is not a wise move. I'm not going to be the only person leaving and they will discover that soon.

  29. #29
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    Originally posted by Xenos
    Charging the faithful customers that stuck with them through that $10 extra per month is not a wise move. I'm not going to be the only person leaving and they will discover that soon.
    I talked this over for a few days with Burst's CEO. It was a hard decision, but they're most likely NOT going to lose money on this. Adding in XO fiber, a new bandwidth provider, and funding renovations cost money. They all benefit the customer. Without that extra money (& losing more cash from it), it would be harder to maintain the network and level of service that they have brought things to.

    - Matt

  30. #30
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    If you don't want to pay the extra $10.00 go get a external license for $15.00 and save $5.00

  31. #31
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    Originally posted by Xenos
    Sash!, would you not switch hosts if your current host had been plagued with outages and raised their prices $10 when you could switch to a host that has a stable network and costs less?
    Well actaully ThePlanet have been having it's share of outages recently instead of Burst who hasn't had any to count(if they have i haven't noticed it).

    They both are real good providers, all hosts are going to have downtime regardless of the network.
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  32. #32
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    Originally posted by marcustr
    If you don't want to pay the extra $10.00 go get a external license for $15.00 and save $5.00
    Where the hell do you get that? The cheapest external I have seen was an offer price of $49 a month, with the usual price being $55 - $80.....
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  33. #33
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    Originally posted by daejuanj
    Well actaully ThePlanet have been having it's share of outages recently instead of Burst who hasn't had any to count(if they have i haven't noticed it).

    They both are real good providers, all hosts are going to have downtime regardless of the network.
    SM has had problems with individual routers. Burst's entire network was completely down...BIG DIFFERENCE

  34. #34
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    Originally posted by Xenos
    SM has had problems with individual routers. Burst's entire network was completely down...BIG DIFFERENCE
    Oh, well you got me on that one.

    But, you have to take in the fact that they are adding new lines from different providers, lowered there servers prices, added remote reboot port, etc. All to improve there services. No host is perfect.

    Originally posted by marcustr
    If you don't want to pay the extra $10.00 go get a external license for $15.00 and save $5.00
    External licenses cost around $55. Depending on how many you buy.
    http://buycpanel.com/
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  35. #35
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    Originally posted by daejuanj
    Oh, well you got me on that one.

    But, you have to take in the fact that they are adding new lines from different providers, lowered there servers prices, added remote reboot port, etc. All to improve there services. No host is perfect.
    So since they have lowered server prices I should be able to get something with Cpanel in the same price range I'm in now? You want to migrate the server for me?

  36. #36
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    Originally posted by Xenos
    So since they have lowered server prices I should be able to get something with Cpanel in the same price range I'm in now? You want to migrate the server for me?
    Yeah, I'll have to charge you about $1,000 + tax. One-time fee of course.
    You can easily do it without downtime, if you are serious.
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  37. #37
    Quote Originally Posted by Sash!
    If you have not covered yourself in your plan pricing for fluctuations in the prices you are paying you need to go to business college quite frankly. <snip>
    I would speculate that this same comment could be directed at Burst as well?

    Xenos, the best thing you could do is to speak your displeasure over this issue with your wallet, best of luck...

  38. #38
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    Originally posted by Watcher_TVI

    Xenos, the best thing you could do is to speak your displeasure over this issue with your wallet, best of luck...
    That is my plan. It's also nice that WHT allows us the freedom to speak our minds

  39. #39
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    Originally posted by Watcher_TVI
    Quote Originally Posted by Sash!
    If you have not covered yourself in your plan pricing for fluctuations in the prices you are paying you need to go to business college quite frankly. <snip>
    I would speculate that this same comment could be directed at Burst as well?

    Xenos, the best thing you could do is to speak your displeasure over this issue with your wallet, best of luck...
    I do believe Burst are doing their clients a favour by charging them the wholesale price for cPanel........
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  40. #40
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    Originally posted by Sash!
    I do believe Burst are doing their clients a favour by charging them the wholesale price for cPanel........
    I would rather them not do me the favor. It doesn't take a genious to determine that he/she would be better off moving to a better network at a lesser cost.

    BTW Sash, are you a Burst reseller or have some kind of relationship with them which is influencing your comments? You sound just like the 3 resellers that have posted in this thread

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