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Hi, I am thinking of setting up a hosting company (as many are).
It seems alot of the "reseller" programs out there are people who have setup their servers colocated in a data centre (not neccessarily their own), and therefore they have to pay the data centre cost, and machine build costs, and then make profit.
I want to aviod having to go through a hosting provider in order to provide hosting, kinda silly, hmmm, I setup reseller, and try beat the average hosting prices out there (what about the hosting provider you are using, how is it possible to beat their resellers price, and make profit, two words, not and possible).
I work for a computer manufacturer and (obviously) have the ability to get our rackmount servers at cost price.
Now, everything sound all hunky doory, but it gets confusing when considering connectivity. The data centre I plan to go with are charging £80 per 1MB between 0 - 10Mb, £70 per Mb between 10-20, etc, goin up to 50Mb connectivity, I presume this is just a connection to the internet, but wait, why would they have 50Mb connection (omfg I want that at home if it is a connection), or is this data transfer?
Something I have never really understood is why hosting companies charge for data transfer, what "cost" is involved. Also if I do start up the hosting company it might very well be used purely for data storage for customers, and in which case I will be throwing rackmounts in farely regularly (as each customer will probably have 1 whole rackmount). If the connectivity is purely connection to the internet, then will this be used for all racks, or each.
oooo, all fun and games, I will leave this to marinade in peoples minds for awhile before I add anymore.
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