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by zaidf 5712 days ago
I'd be very wary of assuming zero bandwidth cost in your business model. Yes you have a partnership right now. But partnerships are made and broken all the time. What are the chances you can get another partnership for free bandwidth if the current one fails?
1 comments

That's a good question. You're right, the cost of bandwidth is not zero. The partnership allowed us to get a good price on a dedicated 1000mbps line with unlimited use as a fixed monthly cost. Because we aren't paying per GB of transfer, we can pass this savings along to the customer.
If your total bandwidth is 1000mbps, it is far from "unlimited". I ran a somewhat popular site that req'd 200mbps. Your offer seems ideal and could save me lots of money. Until I consider that longterm your model is very unsustainable and you'd probably hate sites like mine...which brings me to my point...you might as well think more about what segment of users you want to target and have an offer that addresses their needs and concerns.

Do you want to be most like hostgator or softlayer or amazon S3? They all serve very different profile of customers and have different paths to longterm sustainability.