Originally posted by: wipe0ut
man, at $20/a year, dixiesys will have a ton of newbies to support....I hope you guys are prepared to wait...To those who got slow servers etc, what else do you expect. He has to be overselling to achieve prices this low, which is not neccesserily a bad thing, but do the math:
I bet they are leasing their servers at rackshack: thats what the traceroute to dixiesys.com says, I dont buy their "a small, local data center" bs
So lets say they put 250 hosting accounts on a server, with $20/year that amounts to $5000 a year revenue from a single server which is not bad, but subtract over $1500 annual server lease from rackshack, and you end up with $3500 which is about $300 a month per server to support 250 newbies per server. I wonder if their techsupport works for minimum wage(what is it in Alabama btw?) How big is their staff anyways?
All of the above calculations are assumptions, if they host their dixiesys domain with rackshack and the actual hosting server locally then the math will have take into consideration the cost of equipment(not a monthly fee though) and the annual cost of providing neccessary network bandwidth and infrastructure....This will probably mean even thinner margins and you know where that usually leads