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Dedicated Server starting at 2.99 EUR / month
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Yeah I got the 4 thread n2800 one.
Got mine today, I'm pretty happy with mine
model name : Intel(R) Atom(TM) CPU N2800 @ 1.86GHz
model name : Intel(R) Atom(TM) CPU N2800 @ 1.86GHz
model name : Intel(R) Atom(TM) CPU N2800 @ 1.86GHz
model name : Intel(R) Atom(TM) CPU N2800 @ 1.86GHz
Also on 100mbit?
Cannot believe some people still think they don't lose money on every single one of these they sell. Either bad basic economics math skills or they are just in denial. You can spin it any way you want. Call it a marketing expense, call it a loss leader. It's still almost all expense. Certainly no profit and certainly no break even. If you beg to differ please show me your grade school math because if you are sure then you have obviously done that.
e1000e: eth0 NIC Link is Up 100 Mbps Full Duplex, Flow Control: None
Settings for eth0:
Supported ports: [ TP ]
Supported link modes: 10baseT/Half 10baseT/Full
100baseT/Half 100baseT/Full
1000baseT/Full
Supported pause frame use: No
Supports auto-negotiation: Yes
Advertised link modes: 10baseT/Half 10baseT/Full
100baseT/Half 100baseT/Full
1000baseT/Full
Advertised pause frame use: No
Advertised auto-negotiation: Yes
Speed: 100Mb/s
Duplex: Full
Port: Twisted Pair
PHYAD: 1
Transceiver: internal
Auto-negotiation: on
MDI-X: off
Supports Wake-on: pumbg
Wake-on: g
Current message level: 0x00000007 (7)
drv probe link
Link detected: yes
I started out with an old $20 and jumped up to multiple SP boxes after a few months, OVH knows a lot will eventually upgrade
@texteditor for what do yo use your boxes?
Cannot believe some people still think they don't must lose money on every single one of these they sell. Either bad basic economics math skills or they are just in denial. You can spin it any way you want. Call it a marketing expense, call it a loss leader. It's still almost all expense well engineered at scale. Certainly no profit and certainly no break even non profit promotional offer. If you beg to differ please show me your grade school math ability to read a breakdown because if you are sure then you have obviously done that.
FTFY - Now Read http://lowendtalk.com/discussion/comment/313002/#Comment_313002
It's pretty obvious, if it would have costed 4EUR, they would have priced it that, but they clearly managed to push the borders. Why would they make loss on something they need to deliver 10k/mo of?
this discussion doesn't make sense and doesn't bring anything new to the topic. You have right to your opinion, with which I basically do not agree with but it doesn't make sense to discuss it further.
PS. You didn't even bother to estimate the cost the way Maounique did...
PS2. economy of scale has its own rights, but nothing is free anyway
No, the difference is I think it's possible, where other people claim they know they make a loss.
Moaunique cleary guesstimated those numbers, they're very unrealistic, basically only goes after hardware.
But ok, here's price:
They might aswell make a profit too - either way: bitch please
The crazy thing is even at 5 euro a month they would have gotten the same amount of business I would bet. Not sure why they went so low.
Probably to shock us even more? :-P
@Frost space can't be free. I know about mass production, so prices can go down from Intel a lot.
Show me how 'engineering' and 'scale' magically makes hardware cost less than the raw materials to produce it.
Or perhaps you are under some illusion that computer hardware has astronomical markups. All you gotta do is buy a bunch and prices are slashed by 70%.
Your pricing is still dillusional but let's just go with that for giggles. Even then you have to stretch it out to 4 years to get some ROI out of it. Nobody will want these things after 2 years because there will be something newer faster and cheaper. So you gotta assume maybe 50% of these will no longer be generating any monthly revenue after 2 years.
I see @Frost thinks also that HDDs are free, not only the racks and space, that everyone is an intern or volunteered for the greater cause of empowering poor people with a dedi, that the French state is also a benefactor, not only the bankers. There is no way that the board+RAM+HDD+PSU+rack+infrastructure (mainly switches ports) cost less than 50 Eur per piece. No way in hell.
At 4 Eur a month (not 3, but the new price from september if they will ever continue the deal) the hardware ONLY will be paid for in 1 year. There is also no way in hell atom boards+hdd+ram will only go for 10 watts. I did precise power measurements and i ended up with some 20+ for almost idle (monitoring software). Yeah, not the best PSU and drive was 1.5 TB. I suppose they can lower power consumption with good PSUs, say, 20 W average, but if they keep spinning up and down HDDs to save some power they will fail pretty fast and power drawn might be more, due to much higher consumption at spin-up. 20 W per unit at 100 k units means 2 MW, not including the switches and other gear, that is some serious heat, there is no way in hell it will run without cooling the facility at least, unless in the winter, maybe. Household electricity price in France is some 20 cents/kWh, say OVH buys at 5 (the cost without green certificates) that is still 72 cents a month, say globally 1 Eur if we consider the loss in transformation, cooling, illuminating, switches, routers, things like those. Consider the traffic free, since i really have no data about that.
As for workforce, you cannot have less than 1 person all the time for 20 k units, there is no way, including changing defective parts, billing, storage, management of the supply chain, the janitor, etc. Say that 1 guy is paid the minimum wage of 10 Eur and there are no taxes for that that the employer must pay (I know it is absurd in France), so we will have 7200 Eur a month for 20 k units, some 30 cents per piece at least grossly underestimating so can safely say it is more likely 50 cents, so, already half of the price goes on power and work.
There are also 21 cents a month interest for the loan (calculated at 50 Eur cost per piece), so, you see, even with the massive economy of scale, if you add all the bits and pieces, the operating cost alone does not pay for the 3 Eur price, but it might for the 4 Eur one if we consider the DDoS mitigation infrastructure as free.
All things considered, yeah, 10 Eur might be profitable, but will be small pennies and they have to make sure everything goes according to the plan, there are no losses from any direction and everyone who ever run a business knows that is not possible, 4 Eur, no, it might cover running costs or hardware costs, but not both even when grossly underestimating everything.
Oh my, "too many words". I wonder how do your statements apply to non-Americans.
OK, I am a Russian Federation citizen. Please do repeat the same nice things about my country's citizens. Non-EU means non-EU literally - all the other world is banned from Kimsufi 2013. Are all non-EUs "dicks who always want higher quality while paying dirt"?
You are right, hosting isn't rocket science. All the expenses taken into account, the result will be negative for OVH - those server can provide ROI only if working several times' their expected lifespan. No wonders. It's purely promotional trick, nothing else.
Now talking about promotion. 3 EUR offer was equally interesting for people from many countries. Non-EU restriction wasn't announced when the offer commenced. It was introduced approx. a day later. And non-EU orders already approved from non-EU citizens were all cancelled. Nice attitude toward customers, isn't it?
Now talking of support. I am OVH customer since February 2012. Only few days ago OVH has reluctantly allowed registration for people from my location on Latvian forum (forum.ovh.lt). Tech.Support via their standard means from customer's portal can take days to answer a simple question (simple question not covered in knowledge base, ToS, nor discussed in forums or not Googled down). They fail miserably even in case of few support channels they allow for non-VIP users.
My overall impression of OVH is at the moment strictly negative, I consider their support/overall behaviour unprofessional. At he moment I have a VPS from them, but when it expires I see no intent of dealing with this company and I will strongly discourage others who can fall prey of their cheap offers. The above attitude is simply intolerable.
Especially for you: I have absolutely no emotions towards OVH. I simply stopped trusting them, thus excluding this provider out of realm of business relationships.
There always will be many people that will allow to treat themselves poorly for the sake of a penny offer. It's their sacred right. As for me, I believe OVH should change something in their business ethics, in order not to make further promotions such an epic failure.
Have a nice day!
I'm pretty sure every piece of hardware used for this offer is hand-me-downs from older Kimsufi systems offered over the past few years,
They set up a new data centre with new gear, atleast the HDD's were new, because people reported <24 PoH's for the drives, so chances are all the gear is brand new.
So 50 pages later and you are still doing the maths for the non-believers! LOL! To the peole who don't believe OVH is offering this at a loss, ask any of the LEB why can't any of the LEB providers match it?
Probably OVH will write all the KS 2G as loss making and reduce or not pay any tax! They will have got the positive publicity from it and people will have the confidence to buy their higher priced services so it's WIN-WIN for them.
Asian can't buy. So.. This is too bad.
No, I forgot to include them, say they get them @ €36, with 4 year RTO, that's €0.75.
Google's Belgian datacenters runs at ambient temps, 35C in summer sometimes: http://www.racksolutions.com/news/data-center-trends/google-servers-running-despite-untouchable-temperatures/
They are already there, employed. Probably get their wage from every other OVH sells.
They publicly told on their blog how they negotiated €240 million on 2yr RTO
If that's 2 year RTO that would be an interest of 10% - I'm pretty sure they managed to find some low interest loans having their company and businessmodel already proven to work.
Well, not free, but what does it bring in extra, maybe even €1 million/mo? A bunch of cisco equipment and a few extra fat pipes don't cost that much. So they might have planned it like that indeed.
They're Frenchmen, who knows
I never defended their approach, I simply say the 3EUR has a good chance of continueing for the lifetime of this line-up, purely looking at equipment costs.
Anyhow, I'm not defending OVH's approach, it's just that I doubt they make too big of a loss on the 3EUR ones (especially when they up it to 4EUR) to cease offering them. Although it of course can still happen, then people claim they know everything about OVH and they start telling people it's limited time (probably butthurt for cancelled order)
I happen to have gotten mine, but if I wouldn't I would've been like "oh well, it isn't the end of the world not having a kimsufi, I'll stick to all my LEBs" actually I haven't cancelled any LEBs because of kimsufi... OVH seems to view it the same, that Kimsufi is a toy.
EDIT:
Not to mention OVH's imago always was bad and was finally improving to be destroyed by this :-P We have ranted 58 pages now, their plan is probably working for them.
Yea 4 year rto on hd's with a 3 year warranty that pretty much only last that long now a days. What could possibly go wrong? Then again sometimes they last longer. Feeling lucky?
They run soooo many servers, they must know the average lifetime of hard drives on the hour exact. (say average over 100 no-raid servers) - but hey, it can go wrong, then what? It's better on relying on a bit of luck rather than giving up and just making a loss because you're scared. Like I said, it seems to be a toy.
Yea, just think happy thoughts.
Thank you for your useful comment and its arguments! I'm out of this thread :-P
Maybe he's pissed that LET decided to destroy the VPS market :P
@Frost said:
let's hope it does destroy the VPS market, because those people are obviously selling at a higher price offering 'quality', but well, they are also doing the quality control of their services, so basically they decide what 'quality' means.
indeed some cheap hosts have lower quality, but I have tried better VPS providers, even cloud servers (don't get me started on cloudsigma), they are not much better, some are worse than the offers @ lowendbox.
an interesting idea would be to ask the people @ lowendtalk to post tests from their 'quality' vps, I am sure many have those too, so we can see the difference.
Here's someone else that decide to "destroy the VPS market" or whatever you want to call it.
http://lowendtalk.com/discussion/12909/volumedrive-may-have-deadpooled#latest
Why would I be pissed? I'd gladly get a couple of those 2.99 boxes if it was available to me. I just find it amusing to watch people twisting themselves into pretzels trying to convince themselves it's a sustainable price.
@DomainBop you made my day
Sure, and in 2 years a lot of people will still use Atoms when any VPS will offer higher CPU for lower prices.
Leaving aside the fact that belgium is cooler than france, lets not forget those boards do not have a fan and CPUs run at about 60-70 degrees in regular 25 degrees environments, and no air conditioning does not mean no cooling, they still have to take in fresh air with all the problems that come with it, filtering, de-humidifying, air-conducts, etc. Remember, no cooling =/= no chillers/AC Units. Granted, it is cheaper, but has own problems and costs. Besides, the high density means poor air circulation and OVH never claimed they dont use cooling there...
You probably have no background in Economy as me and you do not know what man/hour means. True, there are employees that do other things there for other servers, however, it takes TIME to replace the defective parts, it takes TIME to install them in the first place, it takes TIME to handle billing issues and even clear the dust from the racks, etc. If they have employees already for other tasks there does not mean they will do extra hours just to help empower the poor people in EU with a dedi.
I fail to see how this is relevant. Judging from what you quoted, it may mean you consider my opinion that the hardware will pay itself in one year through renting as false ? No, it will, but only if there are no other costs, and it is likely the Atoms which are already obsolete will only last morally for a year or so, then other deals will be more powerful and possibly cheaper, say, at max 2 years. I think I already proved the other costs mount already to about 4 Eur a month, so, the price will either pay for the HW or for the operating costs, but not both.
Nope, that is only for one year, we assume in one year the HW will be paid for (at the ridiculous price of 50 Eur a piece, the board, memory and disk) and in the second year the interest will no longer apply for the HW, but the DC investments will unlikely be paid in 1 year, that is another story though, i was referring strictly at the atom hardware so the interest will be 5%, already very low.
Regarding the hate and lack of information about OVH, well, hate was present until I thought they treat only romanians as dirt, since when i found out italians are also considered hackers and thieves, I only feel sorry for OVH.
Information, well, I am no expert and know nobody inside there, but I did deal with OVH before the latest screw-up and, while I can accept there were lucky people that were not singled out, even from outside EU/France/Poland and had good service for years, I know there is little to no investigation when they deem someone unworthy for their services, even a priori judgement, based on country of origin, not to mention the slightest suspicion after the service has been provided.
Changing rules during the game is nothing new for OVH, they proceed like this eversince I have heard of them. If you like to be humiliated for a few pennies less and even outright being robbed without the possibility of recourse, then, fine, your choice, as I said, I was also curious to get one KS2G, for 3 eur a month it is worth it to try, as long as you do not need support and feel lucky that the automated systems will not lock you out, losing 9 Eur will not make me poorer, but I fell victim to the reseller hunt because I paid with paypal and my order has been cancelled after some 10 days or so, all happened as expected, nothing new, I dont hate them more or less due to this, I knew already what are the chances, what strikes me is that there are still people that think I am biased against OVH because of "cancellations" which are not happening, by the way.
Who cancelled their VPSes and got to replace them with the OVH offer in the last month ? Since we are sold-out for more than a month on most things, I cant say how the demand fluctuated.