Now Deluxhost Important Update: Price Adjustment for Promotional VPS Offers

rpqu · January 22

@x1arch said:

@host_c said:

@deafcon said:

@jbiloh said:

@whynotlearn said:

@jbiloh said:

@dedicados said:
So, if the price of RAM goes down, will the costs of the VPSs I already own go down?

My sense is that it's less about the cost of RAM and storage components for existing customers and more about ongoing operational costs (ie, rack space, electricity, etc). Those factors are inflating very fast right now. I am seeing it first hand.

Could be the fact that operational costs have also increased while the capital costs to expand have also grown in many cases 4x

I just saw a quote TODAY for 32GB RAM sticks for AMD Ryzen builds -- now $1200/stick.

That is absolutely insane. I know we're mostly talking about prices from a host's perspective in this thread, but no consumer can deal with that. What is going to happen to NewEgg when the only products they can source are not in any way affordable to most of their customers.

That is 2x 16 GB DDR5 and it is 3600 to 4700 RON, that is 850-1086 USD with 21% VAT.

Hmm, I think I will sell my Office PC's and go back to DDR3, I think I also have some DDR2 laying around....

A 1 TB NVME, WD Blue is ~180 to 230 USD - lol, I think I will just pull out the 6.4 TB AIC cards we have and sell

Well, did I ever say I this Job ?

Can't wait to see the prices on 32 GB VGA cards.

This price for individual customers, the business has different price. I believe you could order it in another country, where it sold cheaper. But maybe better strategy just wait while prices are back? Just do not buy new hardware for now.

$1100-1200 for 64 GB here.

host_c · January 22

@x1arch said: This price for individual customers, the business has different price. I believe you could order it in another country, where it sold cheaper. But maybe better strategy just wait while prices are back? Just do not buy new hardware for now.

Discounted price lists generally hover with a 10-20% ( well 20% off not on RAM for sure, or nvme or drives ) , sincerely, it makes 0 difference at that price point.

Also, those are Consumer Products, just look at the ENTP line, fuck me .

Ordering hardware is kinda out of the option for a Provider, as we do have to pile up spare parts, well, that would be the sane thing to do.

For individuals, yes, I would not upgrade my system yet.

And since the price is this high on some parts/SKU, I prefer the 24-48 Mo warranty if I pay it's weight in gold.

@rpqu said: $1100-1200 for 64 GB here.

EDIT:

And now for the daily meme:

Hmmmmmmm..............

~ 17.19 / GB

so 4.18 TB would be ~72K USD......

Linear pricing says 4.18 TB RAM ≈ $72k.

I see no flaws in this logic.
Anyone buying?

maverick · January 22

@host_c said:

@x1arch said: This price for individual customers, the business has different price. I believe you could order it in another country, where it sold cheaper. But maybe better strategy just wait while prices are back? Just do not buy new hardware for now.

Discounted price lists generally hover with a 10-20% ( well 20% off not on RAM for sure, or nvme or drives ) , sincerely, it makes 0 difference at that price point.

Also, those are Consumer Products, just look at the ENTP line, fuck me .

Ordering hardware is kinda out of the option for a Provider, as we do have to pile up spare parts, well, that would be the sane thing to do.

For individuals, yes, I would not upgrade my system yet.

And since the price is this high on some parts/SKU, I prefer the 24-48 Mo warranty if I pay it's weight in gold.

@rpqu said: $1100-1200 for 64 GB here.

EDIT:

And now for the daily meme:

Hmmmmmmm..............

~ 17.19 / GB

so 4.18 TB would be ~72K USD......

Linear pricing says 4.18 TB RAM ≈ $72k.

I see no flaws in this logic.
Anyone buying?

don't you dare sell RAM my business critical systems are using, i warn

unless...

we get to share the profit? we pretend service never happened, i take 200% refund, you take the rest of the profits...?

we meet again later, during the warmer part of this year, somewhere in the carribean, drinking pina colada, relaxing while looking at scantily clad females...

sound like a plan! where do i sign?

rpqu · January 22

@host_c said:

@x1arch said: This price for individual customers, the business has different price. I believe you could order it in another country, where it sold cheaper. But maybe better strategy just wait while prices are back? Just do not buy new hardware for now.
@rpqu said: $1100-1200 for 64 GB here.

EDIT:

And now for the daily meme:

Hmmmmmmm..............

~ 17.19 / GB

so 4.18 TB would be ~72K USD......

Linear pricing says 4.18 TB RAM ≈ $72k.

I see no flaws in this logic.
Anyone buying?

$72k

Let's assume you unload 2TB DDR5 ram. $36K. Then, you buy used E5-v2server for $500 (~256GB) + 5*1 TB nvme @ $200. So, 24 server.

Edit:
So, @host_c .How good is my calculation?

24c(48t), 256GB, 3TB. Slice it as 1c(2t),10g,120G
Acquisition cost per vds $65, amortized 3y, $22.
Typical BF cost structure, $66/y. Perhaps could be marked up to $88/y

host_c · January 22

@maverick said: we get to share the profit? we pretend service never happened, i take 200% refund, you take the rest of the profits...?

Deal

@maverick said: sound like a plan! where do i sign?

Let me put the lawyer department on the paperwork, might take a bit

@rpqu said: Let's assume you unload 2TB DDR5 ram. $36K. Then, you buy used E5-v2server for $500 (~256GB) + 4*1 TB nvme @ $100. That's almost enough to fill a full rack

E5-V2, lol, and here I am trying to wipe out the E5-V4 we still have.

OK, fellas, nice, now, let's get back to actual work.

host_c · January 22

@maverick said: we meet again later, during the warmer part of this year, somewhere in the carribean, drinking pina colada, relaxing while looking at scantily clad females...

PS: YESS, fully agreed on the Warmer part of that equation.

rpqu · January 22

@host_c said:

@rpqu said: Let's assume you unload 2TB DDR5 ram. $36K. Then, you buy used E5-v2server for $500 (~256GB) + 4*1 TB nvme @ $100. That's almost enough to fill a full rack

E5-V2, lol, and here I am trying to wipe out the E5-V4 we still have.

OK, fellas, nice, now, let's get back to actual work.

I assumed ramflation will last longer than 24 months.

@host_c said:

@maverick said: we meet again later, during the warmer part of this year, somewhere in the carribean, drinking pina colada, relaxing while looking at scantily clad females...

PS: YESS, fully agreed on the Warmer part of that equation.

Ha, Lewis@VeloxMedia .co.uk lore

zed · January 22

Not to interrupt whatever the fuck you're talking about but since this thread was about Deluxhost, is it ok if I ask: do you think Delux will use the word recurring again after this episode?

rotkari · January 22

No more De-lux now.

rpqu · January 23

@zed said:
do you think Delux will use the word recurring again after this episode?

recurring*
*subject to change based on availability, opex, capex, geopolitics, economic warfare, force majeure (flood, riots, earthquake, nuclear warfare, wildfire, pandemic, etc)

barbaros · January 23

@zed said:
Not to interrupt whatever the fuck you're talking about but since this thread was about Deluxhost, is it ok if I ask: do you think Delux will use the word recurring again after this episode?

Even if they use it, I doubt they will get any sympathy or interest from regulars on LET. But MJJs will still buy it, and complain (check Delux thread)

zed · January 23

Someone mentioned in another thread that recurring isn't a lifetime guarantee, and that's absolutely true and fair but if it doesn't happen at least once how is it recurring?

Does that equal scam?

tentor · January 23

@rpqu said:

@zed said:
do you think Delux will use the word recurring again after this episode?

recurring*
*subject to change based on availability, opex, capex, geopolitics, economic warfare, force majeure (flood, riots, earthquake, nuclear warfare, wildfire, pandemic, etc)

Except of opex and capex sounds like force majeure examples

rpqu · January 23

@tentor said:

@rpqu said:

@zed said:
do you think Delux will use the word recurring again after this episode?

recurring*
*subject to change based on availability, opex, capex, geopolitics, economic warfare, force majeure (flood, riots, earthquake, nuclear warfare, wildfire, pandemic, etc)

Except of opex and capex sounds like force majeure examples

Haha, I could always count on you for rebuttal.This is going to change consumer behavior for sure.
At first it's the price increase when renewing service. Next, perhaps some host may demand price increase for the remaining contract or just sunset their business. Inevitably, this is going to erode trust over the feasibility of triennial, even the annual plan, as hosts could no longer absorb opex capex increase.
While skhron's profitability is based on traditional model, that's high customer retention. Many of the host use the prepaid payment to fund more hardware acquisition. Let's say yours is 20-30% times three (assuming 3 years life cycle), their's is 9% times three times how many time they could roll over the triennial plan. So, their cycle will grind to halt.
All things considered, I think customer will prefer monthly billing when there is a good chance their host may demand extra payment for the remaining period of contract.

JasonM · January 24

@rpqu said: At first it's the price increase when renewing service. Next, perhaps some host may demand price increase for the remaining contract or just sunset their business. Inevitably, this is going to erode trust over the feasibility of triennial, even the annual plan, as hosts could no longer absorb opex capex increase.

i agree with you. first it was VeloxMedia, now DeluxHost and this scams will get more broader in coming months esp from hosts which are new and have sold triennail/annual plans specially made for LET users.

rpqu · January 24

@JasonM said:

@rpqu said: At first it's the price increase when renewing service. Next, perhaps some host may demand price increase for the remaining contract or just sunset their business. Inevitably, this is going to erode trust over the feasibility of triennial, even the annual plan, as hosts could no longer absorb opex capex increase.

i agree with you. first it was VeloxMedia, now DeluxHost and this scams will get more broader in coming months esp from hosts which are new and have sold triennail/annual plans specially made for LET users.

Lewis's VeloxMedia is exit scam because he flee. Deluxhost business model is similar, but they hadn't abandoned their customer, so it's not a scam, yet.
Customer did agreed upon the term which allow the hosts to modify the TnC. Unilateral decision without offering remedies (refund) is unfair business practice at best, scam at worst.

thepasta · January 25

They're offering compensation bonus

Dear Customer,

following our recent communication regarding the adjustment of prices for promotional VPS offers, we would like to add a clarification and introduce a concrete compensatory measure for existing customers.

The decision to revise pricing was taken after a long internal evaluation, with the objective of ensuring long-term service stability, technical consistency, and operational sustainability. While the adjustment itself remains unchanged, we want to fairly acknowledge customers who supported these offers prior to the update.
Eligible services

This initiative applies exclusively to promotional VPS offers identified by letters A–Z.

Standard / non-promotional VPS plans are not included.
One compensatory option per VPS

For each eligible VPS, you may request one (1) compensatory option by opening a support ticket and listing your preferences in order:
+10 GB storage
+1 vCore
+1 GB RAM (very limited availability)
Upgrade to 10G network port
+1x IPv6 /64
€1 discount on the next renewal
Some options are subject to limited availability and technical constraints.
For this reason, not all requests can be guaranteed.

Requests are handled on a best-effort basis:
if the first choice is not feasible, the next preference indicated will be evaluated.
Important conditions
This is a one-time compensatory measure related to the recent price adjustment.
Each VPS is eligible for one option only.
Customers who have already received the same bonus for the same VPS in the past are not eligible to receive it again.
The selected option will be applied within 7 business days from the opening of the support ticket.
This measure does not modify existing contracts, billing periods, or renewal terms.
This initiative is intended to maintain a fair balance between sustainability and customer recognition, without introducing unclear or unsustainable commitments.

For questions or to submit your request, please open a support ticket and specify your preferred options in order.

Kind regards,

DeluxHost

deer76 · January 25

So many words in this email, you could spend a few more to clarify whether it's a 1-year addon or recurring.

CloudHopper · January 25

Sharing yet more resources on already oversold nodes. What could possibly go wrong....

zed · January 25

That's decent at least. Doesn't change the misuse of "recurring" imo but opinions and assholes etc.

ohiyoki · January 25

I bought this promo vps for that price, i dont want to have a compencation option. I just want to have the same price. Hope that delux would just close their business

Calypso · January 25

@ohiyoki said:
I bought this promo vps for that price, i dont want to have a compencation option. I just want to have the same price. Hope that delux would just close their business

Don't know which plan you have, but you also have the option of one euro off the new price; that will also make the price difference less.

Am I happy with the higher prices? No. I still think that recurring should basically be recurring - not raising prices at the first moment you can. On the other hand it's good that they do something to prove that they listen.

Most importantly: your last part is just an a-social expression. "If I can't have what I want, I want all the other customers to suffer". You still have an option: don't renew.

zephyr32 · January 25

I think delux sweetened the pill a bit. I hope they will get their act together cause they genuinely look like nice guys trying their best. But their buisness model was like a ponsi scheme. Overselling at bf prices all year long, hopping for plenty of idlers, and puttings the money on new unsuitable servers, without any proper precautions for abuse. They got about 2000 new customers from their let offers in two years time, half of them sending tickets every other day. With the new hardware prices they cant expand any more and they have to deal with the shit they got themselves in. So they started cutting corners (network downgrade) and raising prices on servers.
Not a very optimistic situation since the customers who actually wanted to use their servers realized that these where only sold for a very light use (see idling) and people who just wanted a cheap vps now watch these getting not that cheap. Their storage servers that have a monthly billing cycle are still available as people realise that 98% iowait is only good for a storage box and give up.
Anyhow, i'm curious to see where all this goes from here.

edit.
ps. I do have a couple of servers with them that I am planning to renew when time (hopefully) comes. I also have a couple that I won't.

JohnnySac · January 26

I don't like the price increase after first cycle but this extra upgrade did make me feel a bit better. The IOWAIT is a problem though, I'm hoping the upcoming change from SSD to NVMe will help that.

thepasta · January 26

Disappointed even further, the "compensatory bonus" is not applicable if you received a bonus from their LET threads. Why bother to send the compensation bonus email @DeluxHost to customers who aren't eligible?

I was going to renew based on the previous email, but this makes my choice simpler.

zephyr32 · January 26

@thepasta said:

the "compensatory bonus" is not applicable if you received a bonus from their LET threads.
>
>
You simply can't get the same bonus. You have to get a different one which isn't bad since you can always have the €1 discount. We do critisize them but lets make it fair.

JasonM · January 26

@zephyr32 said: I think delux sweetened the pill a bit. I hope they will get their act together cause they genuinely look like nice guys trying their best. But their buisness model was like a ponsi scheme. Overselling at bf prices all year long, hopping for plenty of idlers, and puttings the money on new unsuitable servers, without any proper precautions for abuse. They got about 2000 new customers from their let offers in two years time, half of them sending tickets every other day. With the new hardware prices they cant expand any more and they have to deal with the shit they got themselves in. So they started cutting corners (network downgrade) and raising prices on servers.

exactly this is where deluxhost's calculations went wrong. Not only deluxhost but many other new hosts who tried to oversell during black friday deals later found those unsustainable in long-run. Then the best choice they had is to increase prices when they already advertised a particular offer as recurring. Now I understand if a reputable and old host adds $2/yr to their plan citing hike in RAM/hardware and other costs IF they've sold like legit vps have 1CPU, 1GB RAM, 20GB SSD, for $15 or $20 a year. But new hosts selling vps at dirt-cheap pricing and throwing away huge resources in that asking for a price increase just after the BF deals gets over (and chargeback period comes to an end) and start cutting corners and raising prices on server just sounds simply as scam. Not a big scam but still it is.

thepasta · January 26

@zephyr32 said:

@thepasta said:

the "compensatory bonus" is not applicable if you received a bonus from their LET threads.
>
>
You simply can't get the same bonus. You have to get a different one which isn't bad since you can always have the €1 discount. We do critisize them but lets make it fair.

I listed the other bonuses in preference order as offered and support closed the ticket with response:

please note that, since you have already received the freebie, you are not eligible to receive this additional compensation.

They also silently deleted my other compensation tickets for my other VPSs.

Calypso · January 26

@thepasta said:

@zephyr32 said:

@thepasta said:

the "compensatory bonus" is not applicable if you received a bonus from their LET threads.

You simply can't get the same bonus. You have to get a different one which isn't bad since you can always have the €1 discount. We do critisize them but lets make it fair.

I listed the other bonuses in preference order as offered and support closed the ticket with response:

please note that, since you have already received the freebie, you are not eligible to receive this additional compensation.

That's not correct according to their own rules they stated; same bonus should be same bonus and not "a" bonus. @DeluxHost - explain?

Noct · January 26

@default said:
DeluxHost = same quality with a deluxe price increase on first renewal.

DelooksHost = makes an offer, then delooks for more for same.

Howdy, Stranger!

Categories

In this Discussion

Now Deluxhost Important Update: Price Adjustment for Promotional VPS Offers

Comments

Howdy, Stranger!

Quick Links

Categories

In this Discussion

Now Deluxhost Important Update: Price Adjustment for Promotional VPS Offers

Comments