Originally posted by: Passions
I can't believe it was legit!
But my 3 year free hosting is finally ending.
I'm quite impressed and don't know how the heck they made any money.
Let's say they bought X number of servers, and only sold X-100, that means 100 servers would be left unused this time. They're going to take a loss anyway, might as well pull some advertising funds to be used as support, domain registration, etc. costs and you'll have attained clients for a *much* smaller acquisition rate than you would through advertising. That doesn't factor in two things though - brand recognition and the fact that not everyone will stay with them.
In any case, seems to have worked well for them!
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