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  1. #1
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    Apr 2002
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    Who has Bandwidth?

    I was just wondering how many hosting companies here have thier own bandwidth, own servers, own NOC, etc etc.

    It seems to me that most of the users here are resellers or use co-lo's etc. (I'm not saying that's bad)

    Just curious,

    Aaron

  2. #2
    Join Date
    Jul 2002
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    I have meet quite a few people from here who own where own servers. Actually, when I meet people who own their own servers, they usualy just do not own one, they own several. It usualy ranges from 2 servers - 6 servers. Its quite surpricing.

    I would supect that more people in this forum would have dedicated server(s) rather than there own servers. When I meet people who won dedicated servers, they usualy own 2.

    I'm sure theres loads of reseller users here who have their own hosting company, but if they do I'm sure they have approx. 5+ GB Space aleast. i think that owning a hosting companys isn't very unique without a suitable amount of space/bandwidth.

  3. #3
    Originally posted by DarrenK
    I have meet quite a few people from here who own where own servers. Actually, when I meet people who own their own servers, they usualy just do not own one, they own several. It usualy ranges from 2 servers - 6 servers. Its quite surpricing.

    I would supect that more people in this forum would have dedicated server(s) rather than there own servers. When I meet people who won dedicated servers, they usualy own 2.
    Am I the only one completely confused by this reply ?
    Carlos Rego
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  4. #4
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    I am entirely confused

  5. #5
    Join Date
    Jun 2002
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    Post

    I think what he's trying to say is larger hosts tend to co-lo and own 2-6 servers, pay a Telco for bandwidth.... smaller (and newer) hosts tend to own 2 dedicated boxes, and pay the dedicated hosting company for bandwidth...

    Correct?


  6. #6
    Join Date
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    THIS IS CHEWBACCA...Chewbacca is a 8-foot tall wookie from the planet Kishy. But, Chewbacca lives on Endor among 2-foot tall Ewoks.

    That Does Not Make Sense !
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  7. #7
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    THIS IS CHEWBACCA...Chewbacca is a 8-foot tall wookie from the planet Kishy. But, Chewbacca lives on Endor among 2-foot tall Ewoks.
    Don't you make fun! One of our best tech support guys; everyone's happy with him except some guy named Lando.

    -Matt
    Matt Meier, RackNine Inc.
    email: mmeier@racknine.com
    web: http://www.racknine.com

  8. #8
    Join Date
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    Re: Who has Bandwidth?

    Originally posted by WII-Aaron
    I was just wondering how many hosting companies here have thier own bandwidth, own servers, own NOC, etc etc.
    A few do


    It seems to me that most of the users here are resellers or use co-lo's etc. (I'm not saying that's bad)

    Just curious,

    Aaron
    Well, what's the going price for discounted bandwidth?? $100/month (with or without a server). Why would somebody with a large investment ($50,000+) want to start a price war with someone that's only pays $100/month and has little or no investment?

    Do you think a company that spends $2,000-$100,000+/month just for the connection(s) itself would be willing to sell $2-5/month 400 MB/10 GB packages on it? That's all I seem to see here, so...

  9. #9
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    Originally posted by RackNine
    Don't you make fun! One of our best tech support guys; everyone's happy with him except some guy named Lando.

    -Matt
    sorry.. Everyones reaction reminded me of the south park episode.
    Dot Simple LLC
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  10. #10
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    May 2001
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    Where can i get discount bandwidth for $100?
    123Designing.com: Webmaster Resource SuperSite
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  11. #11
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    Jun 2002
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    RackShack. There is even a cheap co-location company too (about the same price, just can't think of the name right now).

  12. #12
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    Jan 2001
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    Originally posted by johnallen


    sorry.. Everyones reaction reminded me of the south park episode.
    me too what a lawyer

  13. #13
    Join Date
    Jul 2002
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    Whoops! Sorry guys if you didn't understand. I must of got carreid away in my post or else I accidently posted it in the wrong place.

  14. #14
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    Jul 2002
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    I think in all honesty there are very few hosting companies who own their own servers. Most are either resellers, or they lease their servers (as I do), from others.

    It just seems so many of the hosting companies would prefer not to be too honest about it. It is just much more glamourous to claim you have this huge datacenter, and all of this equipment, etc.

    I'm fairly new to web hosting, but not new to the "internet industry". I have quite a bit of successful business experience, and I can tell you that someone who really does own their own data centers, and have tons of employee's as they claim on here COULD NOT be offering the prices they do.

    Some of the offers on here have an almost non existant profit margin. There is simply no way that someone can have such a low profit margin and have a data center, office, office staff, advertising budget, etc.

    There are just so many on here wanting to claim to be something they are not.

    There is nothing at all with being a small company. Many clients like the fact that when they call us, they get ME. They get the owner of the company.

    So I guess that's a long answer to your question...and in case you didn't understand my answer.....it is this....I think the biggest majority on here are either leasing servers, or are resellers from people who are leasing servers.

  15. #15
    Join Date
    Jun 2000
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    Orlando FL USA
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    Originally posted by EzHost
    I think in all honesty there are very few hosting companies who own their own servers. Most are either resellers, or they lease their servers (as I do), from others.

    It just seems so many of the hosting companies would prefer not to be too honest about it. It is just much more glamourous to claim you have this huge datacenter, and all of this equipment, etc.

    I'm fairly new to web hosting, but not new to the "internet industry". I have quite a bit of successful business experience, and I can tell you that someone who really does own their own data centers, and have tons of employee's as they claim on here COULD NOT be offering the prices they do.

    Some of the offers on here have an almost non existant profit margin. There is simply no way that someone can have such a low profit margin and have a data center, office, office staff, advertising budget, etc.

    There are just so many on here wanting to claim to be something they are not.

    There is nothing [wrong] at all with being a small company. Many clients like the fact that when they call us, they get ME. They get the owner of the company.

    So I guess that's a long answer to your question...and in case you didn't understand my answer.....it is this....I think the biggest majority on here are either leasing servers, or are resellers from people who are leasing servers.
    Agreed enough to quote the whole post. With that said... we do own our own servers and the entire Data Center. It's brand new and took us quite some time to be able to get to the point of being able to do so. We could _not_ have grown to this level by charging what many of the resellers charge within these forums.

    As has already been noted there is no profit margin with those prices. With no profit there is also no money to save up and put back into the company to grow and improve. It's important to price for the future. Important for your company and your clients. The goal is for you to be able to service them next year as well as you are this year. Even if you plan to continue offering your services via resold/dedicated/colo'd providers you must be prepared for your costs to rise and/or the industry requirements to change. If you are not prepared... a simple change could take you down

    Some argue -- "Well bandwidth and disk space prices will only get lower as time goes on" -- IF I agree with that, it doesn't change the fact that wages, taxes, insurance, electricity, rent and other normal business expenses will continue to rise.

    The smarter you are when you 'can afford' to bottom out your prices the better off you'll be when you can't later on.

    ---
    I also totally agree that there is nothing wrong with being small. There is a great market for the smaller hosts IF they would only go out and grab it.

    Many site owners appreciate the smaller business atmosphere. Small hosts that try to 'appear larger' are missing out on a great opportunity for a stable and loyal client base.
    FutureQuest.net
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  16. #16
    Join Date
    May 2002
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    Minneapolis
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    Why bother with virtual hosting when you can sell dedicated servers? It's alot of money and you have fewer customers to work with. It makes your responce time better.

    then the people who buy servers from you turn around and sell the virtual hosting and resellers. Let them go after smaller fish.

    I see alot of datacenters sell all the services. If i had a datacenter, I wouldn't try as hard to sell a $15, 50mb account as I would to sell a dedicated server.

    I rent servers with different datacenters. I sell reseller plans. I don't even go after virtual hosting anymore. I just sell it off in bulk. My prices are below most places. I still make a profit each month. Since I have fewer customers, this allows me to focus on reseller's needs more.

    just some input. mostly ranting.
    Dot Simple LLC
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  17. #17
    Join Date
    Jun 2000
    Location
    Orlando FL USA
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    just some input. mostly ranting.
    LOL

    Our foundation is with shared hosting and we sort of need them to continue paying the bills since we are not yet established in any of the other areas. We are of course adding dedicated and collocation options but with such a presence in shared hosting and quite honestly dedication to our current clients, not to mention experience and a general joy out of servicing that sector, I have no intentions of 'dropping them'.

    We are however prepping to add cages to the DC
    FutureQuest.net
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  18. #18
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    That would be crazy to drop them. I'd just start building some shelves.
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  19. #19
    Join Date
    Dec 2000
    Posts
    255
    We also still do virtuals and own our on DC.
    Like Deb said its what got us to where we are today and we are not going to drop them.

    There is not as much money in dedicated hosting as you think, you need to add up all the costs to offer this service. Servers are not cheap and in most cases you only make a few bucks from a server and do not recoup your costs of providing that server for several months where in virtual hosting a full server can bring in $1000s per month.

    Now do not get me wrong we do make more off our dedicated side than our virtual side but the capital out lay to get there is much greater than the virtual side of things.


    If your going to keep a DC going on dedicated servers and colo alone you better have deep pockets and lots of time

  20. #20
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    How much did you guys bring in a month before you started your datacenter?
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  21. #21
    Join Date
    Aug 2001
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    Originally posted by johnallen
    How much did you guys bring in a month before you started your datacenter?
    I think that is a personal question that Paul wouldn't answer for obvious reasons.

    -Steven
    https://www.ihnetworks.com
    BGP Blend of Telia, GTT, Zayo, and Tata in One Wilshire, Los Angeles! Enterprise Datacenters around the world, including Amsterdam, Singapore, London, and the United States.
    True Definition of Managed Hosting
    Proudly Offering Shared Hosting, Reseller Hosting, VPS, Dedicated Servers, and Co-location

  22. #22
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    Thanks ms. cleo. You always have the answers.

    I was just wondering how they knew they were ready to start a datacenter.
    Dot Simple LLC
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  23. #23
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    Feb 2002
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    New Orleans, LA "Nawlins"
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    just saw this
    http://www.cogentco.com/Fast/elegant_proposition.html
    $1000 / month for 100 Mbps
    intellec
    ....you get what you pay for and you pay for what you get....

  24. #24
    Join Date
    Jun 2002
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    North Pole
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    Originally posted by intellec
    just saw this
    http://www.cogentco.com/Fast/elegant_proposition.html
    $1000 / month for 100 Mbps
    Sh*tty bandwidth, go with a good provider (like UUnet). And it's $1000/month for non-resellers, $3000/month for resellers.

  25. #25
    Join Date
    Dec 2001
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    Toronto, Ontario, Canada
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    Originally posted by the elf


    Sh*tty bandwidth, go with a good provider (like UUnet). And it's $1000/month for non-resellers, $3000/month for resellers.
    Ignorant much?
    Myles Loosley-Millman - admin@prioritycolo.com
    Priority Colo Inc. - Affordable Colocation & Dedicated Servers.
    Two Canadian facilities serving Toronto & Markham, Ontario
    http://www.prioritycolo.com

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