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Originally Posted by mgold
First of all any client that is capped to 10 Begs will not have any problems untill about 9 or so.
Second you are forgetting the cost of Hardware and Managed that was included in that same $399
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You're assuming that someones traffic graph will be a straight line across...it doesn't work that way.
If you average 5 you need a capacity of 10 in order to handle the spikes, or else your site will be slow/unreachable during peak times.
Which is why I say with 10megs capped you'll get about 7 out of it....if you're doing more than 7 you'll have to take the cap off the line to handle the traffic spikes and then that's a whole new hosting plan.
Also, I didn't forget about hardware and tech support costs....I said very plainly that on a gige commitment you would have 35K a month
(scratch that....did the math wrong....its 25K)over and above your bandwidth cost to pay for hardware, techs salaries, and profit.
Plus in the math I did for the gige commitment I didn't even mention that the people buying 10 will only do 7....I simply dividied the gig line into 10MB increments for 100 customers paying $400 each.
Since each will only be using around 7 (some will only use 2 or 3) you can probably sell this package to more than 100 people without increasing your bandwidth commitment with the provider and still have a stable healthy network.
:2cents: