5 ms·
A significant part of this is probably just the hockey-stick growth in the price of memory we have seen in the past 6 months. Would be surprised if this wasn't
by bootsmann 8mo ago
A significant part of this is probably just the hockey-stick growth in the price of memory we have seen in the past 6 months. Would be surprised if this wasn't impacting their bottom line for maintenance.
- fabian2k 8mo agoRAM increased the most, but also SSD and HDD prices increased significantly. And it seems there are also supply problems, so you can't even be sure if you get the components you want at higher prices.
- deleted 8mo ago[deleted]
- jacquesm 8mo agoThere is another factor at play here: EU hosting providers that are not owned lock, stock & barrel are few and far between and Hetzner has a very nice sales representative in the White House.
- stavros 8mo agoCan you expound on that? I'm not sure I get what you're implying.
- capitol_ 8mo agoThat Trump makes us very motivated to stop relying on American tech.
- okanat 8mo agoThis doesn't solve the issue that globalism caused. Europe doesn't make DRAM nor has the know-how to quickly bring factories online which usually take 10+ years. We are tied to American economy and if AI companies start driving prices up not only DRAM but basically everything will become more expensive.
- x_may 8mo agoIsn’t there also basically 0 American DRAM?
- UltraSane 8mo agoMicron Technology, Inc. is an American semiconductor company that manufactures computer memory
- input_sh 8mo agoThey don't produce them within the US. They're building some factories to do so in the future, but as of now their output is 0.
- okanat 8mo agoHowever, the US government has / can have control over Micron's production. They are headquartered in the US. They have the intellectual property and know-how to erect a vertically integrated supply chain. Europe doesn't have this strategic investment.
- Fnoord 8mo agoMicron/Crucial has bailed the consumer market. Enterprise only now, FWIW.
- dangus 8mo agoThe newfound desire to move away from American cloud providers isn’t related to pricing, it’s about the perception of growing instability within the American government, the perception of deteriorating freedom of speech, and the perception of an increasingly non-neutral business environment. E.g., if I’m running a business in the US and I don’t kiss Trump’s ring (and pay bribes), if he becomes dictator for life in 2028, all bets are off for my business. Both the EU and USA import the majority of their computer equipment, and the USA is placing heavy and unpredictable tariffs on those goods. It’s hard to argue that a business should bet that data centers will be cheaper in the US than in the EU if Trump is the last democratically elected president. The most stable places to do business in 2026 are probably the EU and China.
- UltraSane 8mo agoYou waited far too long.
- sincerely 8mo agoPretty sure they are implying that the actions of the current president/administration are causing people to re-evaluate US dependencies. I don't really understand the first half
- fifilura 8mo agoI think in the first part they are implying that there are very few independent companies to turn to. (I also prefer comments that are clear without insinuations).
- stavros 8mo agoAhh, the sales rep is Trump, that makes sense, thank you. I thought Jacques meant they had lobbyists somehow.
- Tadpole9181 8mo ago1. There's no meaningful European competition. 2. Trump is making everyone scared to use US hosting. So they're leveraging for extra profits.
- hsuduebc2 8mo agoThe ridiculous prices of memory surely does not help.
- wongarsu 8mo agoThat is indeed what the comment seems to be implying. "No meaningful European competition" might be a bit too strong. There are many great EU hosters. OVH, Netcup, Scaleway, Strato, Ionos, Exoscale, to name a few. But Hetzner is probably the biggest and has the best name recognition. Doesn't hurt that their prices are among the best in the industry
- jacquesm 8mo agoThat the USA is no longer seen as a stable partner for the long term and that Trump with his idiotic policies and tariffs is driving sales for the few EU hosting scale-ups that are not somehow owned by America.
- rmoriz 8mo agoThe strongest reaction of EU would be to subsidize RIPE small LIR fees to 0€ and embrace decentralization.
- g-mork 8mo agoWhat would that achieve? Here, have 1.5% discount on your subnet purchase
- thyristan 8mo agoMaybe that could help a little, but on the other hand, there are just no more IPv4 addresses at RIPE. And European businesses seem to be very hesitant at adopting IPv6.
- rmoriz 8mo agoIt's about decentralization, and IPv6 adoption is very high in Europe. Resilience means to know how to network. A large enthusiastic community of amateurs leads to skilled professionals.
- draw_down 8mo ago[dead]
- AdamN 8mo agoYeah, also Hetzner is smart enough to realize that a lot of people are moving to them who are "Buy EU"-driven and are less price sensitive (certainly the most valuable ones are). Hopefully they can take these higher prices and further invest into the platform.
- thegreatpeter 8mo ago[flagged]
- candiddevmike 8mo agoHere's to hoping the IOU purchase orders for RAM and SSDs get cancelled... Though I think folks are hedging that this will happen and limiting new suppliers.
- gbuk2013 8mo agoRight, this is what they said in the customer notification email I got today: “The underlying causes of the increased costs are, among others, the exploding demand for AI-related computing power and for cloud services. In addition, raw material prices and production costs have also generally risen for manufacturers. The costs for RAM and SSDs especially have risen by a large amount. For example, the cost for DRAM memory has increased up to 500% since September 2025. And according to market researchers like TrendForce, this price trend will continue throughout the year.”
- 2OEH8eoCRo0 8mo agoIs there also an increase in non-US hosting demand?
- jandrese 8mo agoI kinda miss the days of the crazy housing bubble back in late 2000s, at least that bubble didn't affect my daily life.
- bityard 8mo agoCount yourself lucky! I took a new job in another city just as the bubble hit and had a 3 hour round-trip commute for a year and a half due to that mess. We literally couldn't afford to sell our house because we were underwater on the mortgage. (Would have had to bring more money to the table than we had in savings.) And because of that we also missed a lot of great deals in the destination city as well and had to settle for a house in the suburbs that we weren't thrilled with but fit our budget. I shouldn't complain too much, lots of people had it far worse. Millions lost their homes (and their downpayments) altogether and took over a decade to recover, if they ever did.