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  #1  
Old 08-20-2008, 11:21 PM
msti msti is offline
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Default economics involved

Hi!
This is an excellent site, I am happy to discover it.
I am trying to work out the economics involved in the datacenter business.
First, I have some questions regarding the internet connectivity.

Some dedicated server providers provide servers that can use 1000GB per month and utilize a 10mbps uplink.
Does this mean that the maximum (burst) speed for a dedicated server is 10mbps?
If I want to host 10 servers, i would ideally need a 10x10mbps connection with the internet provider? However, I could squeeze them in a 50mbps internet connection?
I understand, that overselling bandwidth is a common practice in datacenters?

I come from greece, where there are only 3 datacenters owned by large telecoms companies, and leased lines are still expensive. If the economics work out for me, i will seek for venture capital.

I am looking forward for you answers,
Mike
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  #2  
Old 08-26-2008, 03:50 PM
msti msti is offline
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Anyone please?
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  #3  
Old 08-28-2008, 02:52 PM
marchen marchen is offline
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Hello Msti,

You don't really need 10 X 10 mbps connection to host 10 servers. You can ask datacenter folks to provision the port as burstable so it will use when it needs, rest of the bandwidth you can use it in other ports.

Noone doesn't give unlimited bandwidth, if they are telling which means they are not telling the truth. Think about as piple line, you can't push unlimited water through pipe. In order to get maximum bandwidth usage, you need to use the pipe in maximum usage.

Did I answer your question, If not let me know.

Thanks,
Marchen
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  #4  
Old 08-28-2008, 03:11 PM
msti msti is offline
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Thank you for your answer Marchen.

After some reasearch, taking with datacenters around europe, I reallized that there is margin for profit. Getting 1U at 45euro and renting a server at 120euro is a good profit. However, I can not stop thinking what happens if after I buy 5 or 10 servers and deploying them to the datacenter, I can not find enough clients. This keeps me back.
What is your opinion on this?
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  #5  
Old 08-28-2008, 06:22 PM
marchen marchen is offline
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Do you like to host web hosting clients or different client? If you like to have shared hosting client, you can start with one or two servers, it all depends on the budget. After you learned more about marketing in your line, then you can decide how many servers.

Is it helpful?
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  #6  
Old 08-29-2008, 06:21 AM
msti msti is offline
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I intend to host unmanaged dedicated servers and reseller collacation space. What worries me is finding clients that will buy dedicated servers or colocation from me.
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