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Why Linux and Windows VPS hosting keeps getting cheaper

By ServerPoint's Team ·

Why Linux and Windows VPS hosting is getting cheaper

People sometimes ask how we keep VPS hosting prices low while using enterprise-grade hardware. The short answer: the hardware itself keeps getting cheaper and more efficient, and we pass those savings on instead of pocketing them.

SSD prices dropped, disk got bigger

SSD costs fell sharply starting in 2018 and haven’t stopped. Our entire VPS hosting platform uses SSD storage through Ceph, so when the cost per terabyte drops, we can offer more disk at the same price. Every Linux VPS and Windows VPS runs on SSD, not a mix of SSD and spinning disks.

This matters for performance too. As we add newer, faster SSDs to the Ceph cluster, I/O performance improves across the board. Your virtual server gets faster storage without you doing anything.

Better CPUs mean more VPS per host

We’ve been rolling out Intel Xeon Scalable hypervisors to replace older Xeon E5 v2 hardware. The newer CPUs have more cores, better virtualization support, and lower power consumption per core. That means we can run roughly 20% more virtual servers per physical host without sacrificing performance for any individual VPS.

More VPS per host means lower cost per VPS, which means lower prices for you. We’re not oversubscribing; we’re using more efficient hardware so the same quality of service costs less to deliver.

What this means for pricing

Our VPS hosting plans start at a few dollars per month for a small Linux VPS. Windows VPS costs a bit more because of Microsoft licensing, but the underlying infrastructure cost has still gone down. We’ve also reduced prices on larger plans (16 GB RAM and above) as the economics improve.

If you’re comparing us to other providers, check what you’re actually getting: we don’t oversubscribe hosts, every VPS gets dedicated vCPUs and RAM, and all storage is SSD. Some providers advertise lower prices but pack hundreds of VPS onto each host, so your performance suffers during peak hours.

Ongoing improvements

We’re continually adding capacity and upgrading hardware at all six data centers. As SSD and CPU costs continue to fall, we’ll keep adjusting pricing. If you haven’t checked our VPS hosting plans recently, they’re likely cheaper than you remember. Deploy a VPS or contact us for custom pricing on larger deployments.