I'm all done with slow disk on cloud hosts. I have no budget to pay for a colo or a dedicated host. I'm planning on building a server with commodity components and an Intel SSD. I figure I can build a server with a quad core AMD chip, an Intel SSD and extra memory and Disks I have lying around for about $500.
A Comcast Business Broadband package gets me 22 Mbps/5 Mbps for $100 a month. Double that for 50Mbps/10Mbps.
I don't need 5 nines of reliability. I'm willing to deal with a couple of hours of down time in an emergency while we're getting off the ground.
Why aren't more startups doing this? I understand that you might want to buy decent "enterprise" hardware at some point if your site takes off. But, hardware is dirt cheap compared to the crap offerings you get on cloud hosts. Am I missing something?