Per the ongoing Freedesktop discussion, AWS offered to host but Freedesktop is leaning towards self-hosting on Hetzner so they can control their own destiny and sponsors can contribute cash towards the bill instead of donating hardware.
I saw their original announcement and they said that their infra (3 AMD EPYC from generations ago, 3 Intel servers from 2 generations ago, 2 80-core ARM servers) would cost $24k/month at Equinix prices. I checked Hetzner's equivalent offerings, it would be ~$1.5k/month for newer AMD servers. It would probably be even less if they went with older servers listed at their auction. And it probably would be even less if they just moved their CI runners to virtual servers on Hetzner's cloud.
Seriously, Hetzner provides so much move value per dollar, sometimes I fear that one day they will find out and just jack up the prices to match the rest.
VPS business is very different than the "cloud" space.
Yes yes there are cloud features now offered by VPS providers, but they are add ons to chase demand, they aren't positioning their offering to appeal to users wanting a comprehensive suite of services on the platform. Managed databases, SMTP as a service, deployment as a service etc etc etc. For that reasons market rates are different.
For Hetzner to bump their prices significantly they would need to build a cloud platform a la AWS/GCP/Azure. Won't happen by Xmas even if went all in. They are good at what they do and make money so they stick to that.
Of course they are not in the hyperscaler space, but they are far from being "just" a VPS provider.
Their cloud always had on-demand, per-hour billing of servers and block storage volumes, all very easy to manage and provision via their API. Recently they got into object storage space. They even provide a switch to connect their cloud servers with a dedicated one, so you can have, e.g, a beefy GPU server running a LLM model and your web service auto running on the cheap.
I believe that the only thing that really holds Hetzner at their price levels is that the price-sensitive people can always threaten to move to OVH.
OVH or to hundreds of other less known infra providers.
The barrier to entry for these providers is simply, "low". So margins got to be low.
The thing that holds Hetzner and the likes is you can't purchase a package, follow the setup instructions to make cross disciplines engineering departments. It is no wonder Amazon, Google and Microsoft built a comprehensive cloud. They were in the engineering business.
It doesn't imply Hetzner aren't doing a stunning job at what they do or that running an infrastructure farm is a walk in the park.
Hetzner also has the interesting choice of consumer-grade machines which probably work fine in cases where you are constrained by CPU power rather than memory capacity/bandwidth. You'll also lose a bit of redundancy and reliability but that might not be as big of a deal since the machines are managed by them and you can probably get things replaced quickly. For example depending on the workload the CCX43s might be replaceable by the AX52.
Meanwhile for CI runners you probably could split the big bare metal servers down into smaller individual machines and run less jobs of them. Depending on the CI load profile it might also make even more sense to scale out to the cloud on high demand as opposed to having a bunch of mostly idle machines.
Hetzner has a great price but it plays not in the same league as AWS. It's cheap and good enough for some applications but I wouldn't call Hetzner a professional service.
Everybody I know is happy with what Hetzner provides, even at production level. OTOH, "arguably better" DigitalOcean sent me a "Your physical host died, so we restarted it. If it persists, we'll migrate" e-mail, which just shows the reality of the hardware.
On your question, while I do not have services on Hetzner yet, I manage a lot of servers, so I know dynamics of a datacenter and what it entails to keep one up.
Single machines die (and can't be started again for a few minutes to hours) every few months, but that's acceptable for me, and we also similar things happen at AWS.
I do. I just rent 2 computers from Hetzner. One is main another is failover. If main dies failover kicks in while main is restored on another computer. Still way way cheaper than AWS which I would not touch with wooden pole unless required by client.
They were hosting a StackOverflow copy, which is OK because of Creative Commons. All my answers were still under my name as it should be.
The only difference to the original was my profile picture, which was an explicit porn image.
For several weeks everyone searching for my name or my StackOverflow answers saw that. I'm glad that I was not looking for a job at the time.
I exhausted all possibilities on all channels to rectify this situation short of using a lawyer.
I put a lot of effort into getting things in order and seriously considered going the legal route but ultimately decided against it mainly because courts are hit and miss here when it comes to reputation damage of regular individuals as opposed to companies or celebrities.
EDIT: I should have answered your question how this is Hetzner's fault more directly. The website they were hosting did not have the (in Germany) mandatory legal notice (Impressum) or any contact details. This shifts the responsibility to the provider (Providerhaftung). Also I would like to note that I did neither request them to give me their customer's details nor to shut down the site. All I wanted was them to work with their customer to have the offending image removed.
Also I am convinced the porn image was not malice but an accident. The scraper replaced all profile images with ones they probably scraped from a forum. I was just unlucky to get a very indecent one. Had Hetzner collaborated I'm pretty sure this could have been resolved in no time.
Seriously, Hetzner provides so much move value per dollar, sometimes I fear that one day they will find out and just jack up the prices to match the rest.