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  1. #1
    Join Date
    Jan 2003
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    36

    Streaming - making profit ?

    I saw on many streaming hosts that they offer for example 1 shoutcast slot at 48kbps for ~0.90$. Most dedicated come with 1000GB. Lets calculate. On 1000GB we can put ~66+1(source) slots.
    66 * 0.90$ = 59.4$.
    Cheap dedicated with 1000GB cost ~55$ (managed). Then how they can make profit on this - 5$, hmm... ?
    Most of radio stations use 100,200,300 slots, they relay to other servers, then we can't talk here about overselling, because all slots will be used all the time / 24h.
    Then how it is possible ?

  2. #2
    Join Date
    Mar 2004
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    Can you provide a url for them? thanks
    "Web Hosting is not just about selling space, it is about facilitating customers needs with your plans and supporting the customer for a long lasting mutually beneficial relationship."- Yaser

  3. #3
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    Jan 2003
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  4. #4
    Join Date
    Mar 2004
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    For some reason i wouldnt fancy their shoutcasts.
    "Web Hosting is not just about selling space, it is about facilitating customers needs with your plans and supporting the customer for a long lasting mutually beneficial relationship."- Yaser

  5. #5
    Join Date
    Jan 2003
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    any concrete answer on my question ?? ...

  6. #6
    Join Date
    May 2004
    Posts
    246
    It appears that these hosts provide a VPS service(kinda) that has a max of 40 listeners.

  7. #7
    Join Date
    Feb 2002
    Location
    New York, NY
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    4,612

    Re: Streaming - making profit ?

    Originally posted by Koniosek
    I saw on many streaming hosts that they offer for example 1 shoutcast slot at 48kbps for ~0.90$. Most dedicated come with 1000GB. Lets calculate. On 1000GB we can put ~66+1(source) slots.
    66 * 0.90$ = 59.4$.
    Cheap dedicated with 1000GB cost ~55$ (managed). Then how they can make profit on this - 5$, hmm... ?
    Most of radio stations use 100,200,300 slots, they relay to other servers, then we can't talk here about overselling, because all slots will be used all the time / 24h.
    Then how it is possible ?
    Edit: My math was off before.

    They still can oversell by relying on some of the slots being unused part of the time, much like overselling resources with a traditional web host. It's all statistics, and if their math doesn't work out, they're screwed.
    Last edited by bqinternet; 06-01-2004 at 08:44 PM.
    Scott Burns, President
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  8. #8
    Join Date
    Feb 2002
    Location
    New York, NY
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    Did I mention that dedicated server companies don't like it when someone actually uses 1000GB/month at that price? On a $55/month server, that comes out to 5 cents per GB, and since most of it goes to pay for the server, they're likely losing quite a bit of money. Good bandwidth costs almost $1/GB, and even the cheapest that I'm aware of comes in at $0.10/GB.
    Last edited by bqinternet; 06-01-2004 at 08:48 PM.
    Scott Burns, President
    BQ Internet Corporation
    Remote Rsync and FTP backup solutions
    *** http://www.bqbackup.com/ ***

  9. #9
    Originally posted by bqinternet
    Did I mention that dedicated server companies don't like it when someone actually uses 1000GB/month at that price? On a $55/month server, that comes out to 5 cents per GB, and since most of it goes to pay for the server, they're likely losing quite a bit of money. Good bandwidth costs almost $1/GB, and even the cheapest that I'm aware of comes in at $0.10/GB.
    Though it is true that most provider's loose money in situations like this but those clients(majority more often than not) who do not use thier full qouta of bandwidth make up for the loss of the few who do use it.
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