I have done a comparison between linode and other VPS providers, like clubuptime, and I was wondering, why is the bandwidth provided with each server is so small?

Because other providers oversell bandwidth like crazy?

I disagree. A web development company would make use of that bandwidth.

Not overselling as in hyping, but overselling as in if every single one of their users actually used the bandwidth they were allotted they wouldn't be able to cope. They can say that you get 2TB (or whatever) of transfer, because they assume that most users wouldn't use that much.

Linode makes no assumption, and provides for the worst case in which every single user consumes all their allotted bandwidth.

sounds good to me. But, it still is really low.

Well feel free to try one of those providers and see how long it takes them to suspend you or force you to upgrade to a higher tiered package.

Linode's bandwidth offering is quite competitive with other VPS providers in the same market. Linode is a high-end unmanaged cloud provider. Compare their offering to their closest competition, and the difference is stark:

$20 linode: 200GB bandwidth
$20 slicehost: 150GB bandwidth
$20 Amazon EC2: 37GB (micro instance)

It should be noted that Amazon's micro instance is vastly slower than a $20 linode, you'd actually need a far larger EC2 instance to get the equivalent to a $20 linode.

$20 Panix V-colo: 200Gb (Panix mirrors linode closely with the standard plans)

Linode isn't the cheapest in the world; you can get more bandwidth elsewhere for cheaper but there's typically issues - eg slower network connection, or you may get suspended, or it's oversold and you can't actually get what they sell you, or...

Linode strives hard to provide you with what they sell you; and that costs a little more.

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Rgds
Stephen
(Linux user since kernel version 0.11)

Get a CDN. This month i will have 800GB traffic.. on the CDN and about 200GB on the VPS you shouldn't count that much on a VPS for transferring large amount of data. 1TB CDN goes around 70$.

Also note that all inbound traffic is free http://blog.linode.com/2011/09/01/linod ... r-pricing/

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Paid support
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2. Post any errors
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That's not that large a savings over linode, where 1TB of bandwidth would only cost you $30 extra.

Having a CDN is speed what really matters. CDN providers distribute the files faster than the VPS can possibly can, especcially if you don't have nginx or lighttpd installed...