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Hetzner cuts traffic from 20 TB –> 1..5 TB on US VPSs
76 points by hyperknot 2 hours ago | hide | past | web | 26 comments | favorite





> Until this change, customers who have used fewer resources have covered the costs, in a way, for other customers who have used much more resources. We want to make things more balanced.

I may know one of the culprits -- whom I will leave unnamed here. But the company, who is fairly popular, built out their own CDN via putting a bunch of nginx reverse proxies on various Hetzner servers around the world. It apparently was really cheap and very effective. Given that they were bootstrapped and this was prior to Cloudflare really being that popular, it was a great strategy. This was true like 8 years ago, so maybe it has changed in the meantime.


When has AWS done something like this?

LB11 going from 20TB to 1TB for the same price is wild if you’d built a business on this platform.


Never. I don't think AWS have _ever_ icnreased prices.

Right - I’ve been on them since EC2 flat network / simple DB days and was trying to remember if I ever got an email like this.

I have argued online with folks about their pricing - my point usually being as soon as you try to do Netflix or YouTube on the “Free” or unlimited or ultra low cost providers - you find out it’s a lie.

My impression was hetzner had started null routing customers for “abuse” who used a lot. No idea if that’s true, but used to be the way the “unlimited” VPS providers did it.


Traffic over-usage is $1 per TB, so this is still quite fair, only in singapore is traffic really expensive at $8/TB.

so still order or orders of magnitude cheaper than the the big 3 hyperscalers.

Ahh, yes, the good old "here, you purchased X amount of things for $Z. But don't dare to use everything you paid for, or we double the price"

Hetzner have definitely always been scumbags about the bait & switch on aspects of their service like that. Granted it's pretty typical of the too good to be true rule of life.

Weird, one would expect that in anything related to technology either prices go down, or performance goes up over time.

True, so what gives? Just them wanting more money now that they got enough customers? They probably did some calculations and realized that damn, they could pocket more money so might as well try their luck. Like yeah, let us assume they have 10k customers: 7.05 * 10000 is 70500, 8.99 * 10000 is 89900, that is 19400 USD more for them, and that is just for one!

Or the cause is one step removed, for example the handful of giant companies that control all US internet infrastructure, versus the hundreds all over Europe.

Yeah, so that probably means the count of users is higher than the previously assumed 10k. They can do it, so they will do it.

Not when there is a duopoly on one market (US) and hundreds of companies on other (EU).

How is there a duopoly in the cloud market in the US?

>Until this change, customers who have used fewer resources have covered the costs, in a way, for other customers who have used much more resources.

So... raising the prices for everybody instead?


Yeah, the justification given makes absolutely no sense - you are paying more than before even if you stay under the new limit (which is 1/20th of the original!)

They also use the word "tariff" several times without elaborating, as if the person who wrote the email doesn't know the actual meaning of the word.

Seems like intentional deception to hide a standard "we just want more money" price raise.


as if the person who wrote the email doesn't know the actual meaning of the word.

The word "tariff" has a few different meanings. I'd say they're using it correctly, just not with the same meaning that the word is commonly being used in the news right now.


> as if the person who wrote the email doesn't know the actual meaning of the word.

In my country, "tariff" is seen in several contexts:

* A tax on imports, much in the news since the recent US election.

* A pub or bar's price list is known as the "bar tariff"

* Energy companies offer a selection of "tariffs" i.e. agreed contract rates for usage-based pricing. e.g. a 3-year-fixed-price tariff, a 100%-green-energy tariff, and so on.

* The portion of a 'life' jail sentence which must be served, before a prisoner can be considered for parole.

So I don't think it's incorrect to call a price list a "tariff", merely unusual.


What's wrong with their use of "tariff"? Looks fine to me!

In the second example charging 28% more for 90% less traffic, starting in 3 days. That's straight up illegal in some parts of the world, but apparently not in the US?

The pricing applies immediately only for new customers. For existing ones, it applies from Feb 2025.

Inflation, the real inflation is 10%

Are tariffs already in place or is this just a thinly-veiled scapegoat for haircutting traffic allocation by 95%? To a customer, it certainly feels like a bait and switch to sell a subscription product and once customers are embedded materially change the economic trade.

It's the language barrier. The German word Tarif doesn't mean the same as the English word tariff.

It's also used in that sense in English (in telecom/utilities, airlines, etc.), just that the political/taxation usage is more heavily covered, especially lately.

Well actually one meaning of the English word tariff is the same as the German meaning, although it's not as widely used. To quote Wiktionary:

> tariff (plural tariffs)

1. A system of government-imposed duties levied on imported or exported goods; a list of such duties, or the duties themselves.

2. A schedule of rates, fees or prices.

3. (British) A sentence determined according to a scale of standard penalties for certain categories of crime.

...so Hetzner's usage of the word is technically correct™, even though native speakers might not use it in this context.


Yes, that's really funny. But even funnier, I can't think of a 1-1 English word, and even Google translate gives me tariff. It's actually just "price", but in the context of these kinds of services, could be also something like "tier" (but not to be confused with the German Tier :-)).

By tariff they just mean contract pricing, not the tax kind.

This has nothing to do with any possible trade wars or trade tariffs.

The word tariff is often used in telecom to indicate rates and fees for some given quantity of services, and that seems to be the use here.


I thought of giving a recommendation here but I fear that they would raise the prices too... :|




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