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No low margins at all. Don't forget the bandwidth pricing. No low margins there at all. Digital Ocean includes up to 5 TB of free transfer. That would cost $614
by berns 13y ago
No low margins at all. Don't forget the bandwidth pricing. No low margins there at all. Digital Ocean includes up to 5 TB of free transfer. That would cost $614 per month at AWS. Not to mention dedicated server providers like OVH where you can get a modern Xeon and unmetered 300 Mbps bandwidth for $ 137 per month.
Edit: typo
- nl 13y agoBandwidth pricing is a very murky field. I've worked on CDN pricing, too, although mostly outside the US market. Depending on who you are, in some circumstances you can actually make money from cross connect charges. This is typically the case if you are a telco, but it depends on your place in the market. You can see some hints of this in the differing ingress and egress pricing on AWS. Anyway: Yes, AWS bandwidth is expensive and most people would be better off going elsewhere if you are using a lot. But don't be too quick to judge the margins because we have no way of knowing what Amazon pays under what circumstances.