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drmike
Please stay out of my company. None of my comments were directed at you...nor even on this site. As for you and your stupid ass opinions, lets clear this up...
Bravo chap, bravo. Glad to see you commenting.
1. Corporate membership, did yours expire or was your account one of those "freebies"? Save your money and bank it to subsidize those low end plans you just sold and that OnApp which loves to cost shops money.
2. I think your offers are flawed like many folks making offers. When you pass the never oversold stuff and all that, meh. I can get an 8 year old to do math, and they could tell you it doesn't add up like many shops. If pack 20 containers something is wrong. What are these? Avoton nodes? Definitely seems like a 16GB of RAM box.
3. "
A. This is a PROMO. Meaning we don't make to much off of it."
I believe that's indeed true. Nothing prevents whole nodes full of $4 LEB plans other you either limiting the inventory or expiring the coupon on LEB and you've done neither so it should be assumed that you have nodes full of $4 accounts. That market buys cheap if they buy. Even if you spread them around like peanut butter you still have nodes full of $4 plans, that is unless the promo just didn't move inventory. $80 nodes sink ships. Even your rosey $95 income per server makes me wonder what the hell these nodes are made out of....
DD.
You got companies giving away $35/month 32GB E3's, but your going to turn around and question me about sustainable pricing with "$80/month". Yeah GTFO.
Where are you seeing $35/month 32GB E3's?????? Cause I'll buy them. Probably about the best you are going to get is an 8GB E3 and older, weaker CPU with lots of run time on it. You should know all about them, as you sell in Buffalo and on CC's network.
I think you are wrongly referring to my little pals bargain bins. 8GB E3's and it squashed the market and caused a lot of annoyance to providers. $35 is doable on that spec with a single small drive as a market ruin thing. It's arguably $0-5 profit. Depends on the financing. But one has to be an idiot to sell stuff so low.
Dedis are fixed costs. Already paid for, racked, often on, etc. Facilities want such generating money even if lean. If not covering costs then draining income from other profit centers to cover it. Promos make sense for baremetal where companies are funded by monopoly money.
That said, your servers for that promo offer just make no sense. I am unaware of any Quadranet server with 4 drives and decent processors that is going to fit in $95/mo income scenario. Maybe you colo gear, you must. At 50% cost, looking at $45 we'll say rounded down of profit, for a whole server. Full rack is 32A usable... so you can fit meh 28 servers, maybe 30.... If you populated that rack with 30 of these servers packed up (which hey moving 600 containers is nothing at said price and on said site) you'd have $45 x 30 = $1400~ income at most. (rack @ $800/mo and $600 into other costs). $1400 on a full rack and still have to pay labor. I guess.
But I know you aren't selling 600 containers and your other real business funnels the cash to subsidize playing in the low end sandbox. Hope the paying customers like the noisy neighbors and the network snafus from lowenders. Be sure to drop money for a real router. That's going to sting.
My question then is why do this promo baiting at all? Why do little self admitted profit to yank customers in the door who have no loyalty or retention? It's throwing good money in a hole in the ground. It devalues your brand and you are supposedly into this 4 years.
Just saying $7 plans x maximum of 20 = $140 dollars per node pre every fee. Not being a smart ass, but, that's not a sustainable income number and remember I told you that down the road. Chalking it up to promotional thing, sure, I buy that. But look at what you did:
512MB Xen face price on your site = $12/mo, 1GB Xen face price = $24/mo... Sure those are SSD and have less disk than my watch does, but at least the numbers are alright.
Sale = 512MB Xen @ $4/mo plus 100GB of HDD 1GB Xen promo = $7/mo plus 175GB HDD
So the 512 = 66% price reduction and the 1GB = 70% price reduction. No opinion.
Node income on 512MB @ face $12 x 20 = $240 income or 3x more.
Is $12 too much for a 512MB plan? For companies with little reputation, yes. Is $4 discount too low? By a bit.
Now I am off to look at these shared plans and stickies.
PS: Fix your website:
http://onrahost.com/datacenters
http://onrahost.com/faq.html
http://blog.onrahost.com/ (nice blog I enjoyed it)
http://onrahost.com/sitemap.html
http://www.onrahost.com/fourms.onrahost.com
http://forums.onrahost.com (nice I enjoyed the forums too)
http://www.onrahost.com/backupstorage.html
https://demos.onrahost.com/