schof wrote:
I'm firmly sold on the value of the Linode 64 package, and thinking about upgrading to the 128 for more disk space, processor, and memory. (I don't need the bandwidth.) But I looked at rack providers before deciding on a Linode, and you can get your own box with decent specs for less than you'd pay for the Linode 256. Is there an advantage to going with a Linode at that price level?
I have to say, I have been wondering also why the larger Linode packages are not discounted. All of the features (memory, hard drive space, bandwidth cap, etc) are exact multiples of the basic Linode 64 package, and the prices are exact multiples also (well actually the larger packages are more slightly more expensive since, for example, Linode 128 would be $39.90, instead of $39.95 per month, if it was exactly twice as expensive as Linode 64 - but the difference is negligeable).
It would seem to make the most sense to me to make a Linode 128 be slightly discounted per unit of resource when compared to a Linode 64. A Linode 128 is exactly twice as "big" as a Linode 64, and right now costs (almost) exactly twice as much. But why not charge, say, $5 less per month for a Linode 128, at $34.95/mo. A Linode 192 would be a further $5/mo discount, at $49.95, and a Linode 256 would be $64.95. Or some similar pricing structure which would make a larger Linode slightly more cost-effective when compared to a smaller Linode.
This would result in a lower profit per Linode for the larger Linodes, but it would presumably make it easier to get subscribers for those Linodes. Could be a worthwhile tradeoff, if it results in more "volume".