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Overselling Tendency In The Hosting Market

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The true story is that most people cannot use more than a couple of GB of web space. Most users actually do not need more than a 100 MB of web space. You can generate 1 GB of content by shooting a thousand high-quality photos. And you would want to upload for your friends a small fraction of those.

Still if someone manages to accumulate and publish 20 GB of web space hundreds of others that bought this webspace will not. So what happens is that those hundred others are paying for the service used by the few people that can upload so much content.

Those offers include 300 GB of data transfer. If we assume that most websites would use a half of it or 150 GB of it - then a 100 Mbs line would be able to serve about 200 of those sites. Or an average website would need use the complete capacity of half a megabit of carrier to function normally. "We have not made a detailed market survey but I am almost sure that half a megabit of backbone internet connection costs even more than $10. This means that if the service that was offered was used the hosting fees cannot even cover the bandwidth costs." says Mr. Drangajov

Again the true story - Almost none of the customers would need or use this.

Say we assume that you use all your bandwidth - 300 GB /month or 10 GB a day and an average visit downloads 0,5 MB per visit from your website. Then for the 15 hours of most active Internet traffic you will have 15 000 visits. This I can tell you is not that easy to achieve and if you have a site that is this popular you would probably not want to host it with a shared hosts. Actually you would not be able to? Why?

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Comments 8 >>

Marcus Said,
Jun 13, 2006 @ 15:42

Nice, article but the "Oversellers" have something to say :)

The Truth About Overselling!
A1domainhosting Said,
Sep 27, 2007 @ 08:45

Good article and worth reading. Atleast it will open eyes of few customers who just compare plans and not service and support
Cole Haan Said,
Feb 15, 2008 @ 20:22

I've a reseller account at ResellerZoom, and they have overselling enabled for me. But yet I'm not overselling, I wonder what will I do when I oversell and I'm out of limit?
Tercüme bürosu Said,
Feb 23, 2008 @ 11:33

Your comment contains very useful information about all thank you
Tercüme
Blue Gravity Said,
Mar 05, 2008 @ 17:03

We at BlueGravity.com have never oversold bandwidth or hard drive space. While it may seem you are getting a better deal with some hosts that advertize a gazillion gb of space and bw for $10/mo, I dare you to use that space and see what happens.

We never over sell. Never have, never will. This keeps our servers running smoothly all the time with almost no downtime. Most of our virtual hosting servers have been up for years without any (unscheduled) downtime, and when down for scheduled things like upgrades repairs etc, its no more then 5 minutes.

If you are looking for one of the few honest hosts left check out http://www.bluegravity.com, or give us a call at 1-877-8-HOSTING. You can even ask for me, Tim, and I’d be glad to talk to you.

Timothy J. Biggs
Blue Gravity Communications Inc.
Dave Lasslo Said,
Mar 28, 2008 @ 08:24

I dont think that overselling is a problem. The problem is that web hosting providers haven't figured out a way to promote themself without playing the numbers game. I think that we will see more hosters that promote their features like Wordpress Hosting and similar. At the end of the day, nobody needs 5TB of disk space or 1 million SQL databases.
dotservant.com website hosting Said,
Apr 04, 2008 @ 06:43

Lots of webmaster are beginning to realize that these are mostly marketing tricks and some web host are beginning to focus on more specialized support instead.
Eric Roth Said,
Apr 20, 2008 @ 14:22

Excellent, insightful article for clients like myself who were shocked when their websites were shut down - at the conferences when they were most needed!

Your article helps me understand how this could happen, without drifting into paranoia, at all three conferences where I presented information about my conversation book. The traffic, I presume, shot up - and the host just shut me down. Of course, their action (by the mis-named Successful Hosting) cost me a large amount of credibility, sales, and money. I'm still rather pissed. I would gladly pay far more money for a reliable, consistent, and dependable host. In fact, my search for that has lead me to your website!

I wish I had read your article a year ago. Thank you for sharing this under-appreciated, and often overlooked piece of information.
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