Volumedrive about to deadpool?
- Thread starter Francisco
- Start date
Why?
They did $50/m E3's with 16GB RAM.
Who in their right mind can do that, even when leasing? Where are you making any margin to cover the cost of gear?
It's easy to 'make that price work' when you aren't paying any of your vendors.
No one does $50/m E3's unless they need to move inventory now because they're fucked otherwise. No one in their right mind goes and continues to lease equipment hoping to make that, a /28, & 100mbit unmetered work.
Francisco
drmike
100% Tier-1 Gogent
In theory you could do this if you were say BurstNet
Especially when and where you have inherited gear for one reason or another (typically non-pay customer). Plus they have VC dollas to burn.Question always is, who buys a box that size? A few folks who have friends and group buy, yes. Most them though? Hosting service providers I'd suspect. Shady hardware in typically inferior facility with often crappy network (sorry VD in past wasn't real hot on the network).
So when a provider selling unrealistic gear for business purposes to customers that should know better and who should have plans for backups and redundancy goes belly up, whole bunch of "victims" who sort of were victimizing their own customers.
drmike
100% Tier-1 Gogent
What? People get paid in this industry segment? I thought it was all perks based
Oh, that happened ehh? Have at it over there on WHT. I am trying to catch up on the thread. That's umm good and bad. VD comes back to life then cat fight big time over that move.
Jack
Active Member
I am struggling to keep up since when I joined at 21 pages so good luck if you're only just catching up.
drmike
100% Tier-1 Gogent
Ahh TLDR, @MartinD is VD really was a semi-early disruptor and they ran things pretty poorly.
Whole bunch of people long ago had dates on the calendar for VD implosion. Bunch of us whiney types long tired of their network crap non stop (malicious, spam, etc.).
For now, #winning = BurstNet. Customers are various stages of screwed. Competitors, well, doubt anyone wants the customers.
Whole bunch of people long ago had dates on the calendar for VD implosion. Bunch of us whiney types long tired of their network crap non stop (malicious, spam, etc.).
For now, #winning = BurstNet. Customers are various stages of screwed. Competitors, well, doubt anyone wants the customers.
Yeah, that's what I mean.
People are bitching at Burst, demanding answers about how they got data about the customers and how they're going about switching the servers on. All these people doing the bitching aren't even (ex)VD customers who have been affected.
If Burst DIDNT do anything, they'd bitch at them for washing their hands. It's bloody stupid.
People are bitching at Burst, demanding answers about how they got data about the customers and how they're going about switching the servers on. All these people doing the bitching aren't even (ex)VD customers who have been affected.
If Burst DIDNT do anything, they'd bitch at them for washing their hands. It's bloody stupid.
Jack
Active Member
Surely the servers will be on a 24 month lease?
It must have been a good two years since VD launched the E3 series...
It seems Burst already know where they're moving to so the lease/finance company will no doubt be aware, too.
drmike
100% Tier-1 Gogent
Yes sir, Burst knows the lease company well as do other major facilities in US Southeast. Burst probably already cuts the company money and certainly makes referrals, so, inheriting that gear will likely be sweetheart deal. That's the only reason they are attempting to do what they are.
Surprised no one at large went digging on Volumedrive I don't have the time
Surprised no one at large went digging on Volumedrive
I don't have the time The leasing company they use does not offer Capital leases, only operating leases. They were likely leased on 24-Month FMV terms, if it was originally a $700 server, the lease would have been $32/month for 24-months with a likely $300 residual balance at the end of the 24 month term. They could have re-termed that for another 12 months past the 24 month period for the same $32 and then own it.
I know for a fact that their requirement of their provider was that their costs needed to be less than $13 per 1U server for space/power/bandwidth in order for them to break even on their operating of the server.
I've been in this business for a long time and grown from a single shared-hosting account up to now operating and building out facilities. I can tell you as a simple fact. The math DOES NOT work. Volumedrive was *always* going to fail, I'm simply amazed it's taken this long for it to implode.
Jack
Active Member
What company do they use? Have you used them before?
They won't. They're special snowflakes and it could never happen to anyone else.Hoping other mega cheap providers of all sorts take note of this event
/s