How much is the cost for Storage Boxes increasing?
I don't see them listed on the announcement page (BX* products), so I'm guessing storage boxes prices will stay the same.
Hetzner Prices increase 30-40%
311–320 of 662 posts
Re: Hetzner Prices increase 30-40%
#312Earlier quoted context omitted.
Most markets don't have three purchasers trying to corner the entire supply of one product.
Economic history is full of examples of demand shocks. This is not some unique situation that has never occurred before. This is actually a clean commodity price spike because it’s specifically not for market manipulation or financial engineering. It’s because demand for this product really did explode overnight.
> This is actually a clean commodity price spike because it’s specifically not for market manipulation or financial engineering. It’s because demand for this product really did explode overnight.
Based on how the same 3 billion has been circiling between Anthropic, OpenAI, Nvidia, Google, Microsoft, Amazon, and a few other companies... I really doubt that this is the case, to be honest.
Re: Hetzner Prices increase 30-40%
#313Running a small project on Hetzner from Germany. Got the email this morning. Honestly, even after the increase their dedicated boxes are still absurdly cheap compared to what you'd pay at AWS or GCP for equivalent specs. The real story here isn't Hetzner being greedy. It's that AI companies are vacuuming up every DRAM chip on the planet and the rest of us get to pay the tax. I priced out a RAM upgrade for my home ser…
> It's that AI companies are vacuuming up every DRAM chip on the planet and the rest of us get to pay the tax. DRAM is priced based on supply and demand, like every other market. When demand goes up, the price goes up for everyone. It’s not a “tax” on the rest of us in any sense. There’s just a lot of demand everywhere. > That's not normal market dynamics. This is actually a textbook example of markets functioning in…
Factory capacity does not follow market dynamics easily
Re: Hetzner Prices increase 30-40%
#314Earlier quoted context omitted.
Most markets don't have three purchasers trying to corner the entire supply of one product.
Economic history is full of examples of demand shocks. This is not some unique situation that has never occurred before. This is actually a clean commodity price spike because it’s specifically not for market manipulation or financial engineering. It’s because demand for this product really did explode overnight.
By 3 buyers who have no known plan to finance the purchase orders they have made.
Economic history is also full of examples of bubble bursts.
Re: Hetzner Prices increase 30-40%
#315Earlier quoted context omitted.
But aren't those the same startups that think they need to run on AWS EKS instead of using a single cheap server? The cheapest used Hetzner server currently is €39.24 / month: - Intel Core i7-6700 - 32 GB - 2 x 480 GB Datacenter SSD - 1 GB/s - 20 TB traffic Their VPS are even cheaper. And you can run a lot on this.
Except 40€ a month is extremely poor value for this CPU that's more than a decade old.
No, that's actually a really good deal for dedicated hardware with those specs. For a project sized for hardware like that, the CPU is a lot less relevant than the RAM and storage and transfer.
Re: Hetzner Prices increase 30-40%
#316Earlier quoted context omitted.
But aren't those the same startups that think they need to run on AWS EKS instead of using a single cheap server? The cheapest used Hetzner server currently is €39.24 / month: - Intel Core i7-6700 - 32 GB - 2 x 480 GB Datacenter SSD - 1 GB/s - 20 TB traffic Their VPS are even cheaper. And you can run a lot on this.
Except 40€ a month is extremely poor value for this CPU that's more than a decade old.
8 threads at 3.4 GHz, 8MB cache. Seems fine, depending on your use case.
Re: Hetzner Prices increase 30-40%
#317Earlier quoted context omitted.
There 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.
Can you expound on that? I'm not sure I get what you're implying.
That 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.
Re: Hetzner Prices increase 30-40%
#318Running a small project on Hetzner from Germany. Got the email this morning. Honestly, even after the increase their dedicated boxes are still absurdly cheap compared to what you'd pay at AWS or GCP for equivalent specs. The real story here isn't Hetzner being greedy. It's that AI companies are vacuuming up every DRAM chip on the planet and the rest of us get to pay the tax. I priced out a RAM upgrade for my home ser…
But aren't those the same startups that think they need to run on AWS EKS instead of using a single cheap server? The cheapest used Hetzner server currently is €39.24 / month: - Intel Core i7-6700 - 32 GB - 2 x 480 GB Datacenter SSD - 1 GB/s - 20 TB traffic Their VPS are even cheaper. And you can run a lot on this.
If your only need is a lot of bandwidth with very low server CPU use that’s fine.
That CPU is ancient, though. Over a decade old. That DRAM is 2-channel DDR3.
This could be a good deal for someone, but entrusting your startup’s operations to a 10 year old slow computer in Germany instead of using EKS would be an extremely short sighted move. A startup should be developing software and shipping it quickly to validate the market, not pinching pennies to save the equivalent of a couple hours of developer salary.
Re: Hetzner Prices increase 30-40%
#319Earlier quoted context omitted.
Stabilized at 5x (or more), a change that occurred over like 3mo. Grocery prices have also stabilized but I’m still paying too much ha
Well, if all the doomers and gloomers were correct that this is the end of hardware at home, we'd see the price continue to increase, and suppliers trying to ramp up production, even if it'd take long time. The fact that it stabilized (at whatever price) and that suppliers aren't even thinking about ramping up production, should tell people that the doomers and gloomers were yet again over-reacting to things they don…
Smart money says by Jan 2026 ram prices will not be anywhere near where they were 6mo ago, but we’ll see I suppose.
Re: Hetzner Prices increase 30-40%
#320Earlier quoted context omitted.
> It's that AI companies are vacuuming up every DRAM chip on the planet and the rest of us get to pay the tax. DRAM is priced based on supply and demand, like every other market. When demand goes up, the price goes up for everyone. It’s not a “tax” on the rest of us in any sense. There’s just a lot of demand everywhere. > That's not normal market dynamics. This is actually a textbook example of markets functioning in…
Factory capacity does not follow market dynamics easily
I think the usefulness of market dynamics is their ability to follow things like factory capacity, which are themselves hard to follow, not the other way around.