- It's very time consuming and detailed to make a budget for colo
- [1:03:10 AM] MinecraftLayer: hours and hours for something relatively straightforward
- [1:03:45 AM] Peter M: Interesting never thought it would be
- [1:04:03 AM] MinecraftLayer: So many little factors
- [1:04:12 AM] Peter M: Ah
- [1:04:16 AM] MinecraftLayer: And you have to make formulas to auto-calculate costs
- [1:04:20 AM] MinecraftLayer: Like for instance
- [1:04:36 AM] MinecraftLayer: If I assume our MC nodes on average use 10Mbps bandwidth per month
- [1:04:43 AM] MinecraftLayer: And 1Mbps costs me $1.25/mo
- [1:05:06 AM] MinecraftLayer: Then I have to take that and make a formula that figures out how many servers we have at the moment and then multiples those all together
- [1:05:07 AM] MinecraftLayer: But
- [1:05:18 AM] MinecraftLayer: Bandwidth is bought on what's called a commit
- [1:05:26 AM] MinecraftLayer: So I have to commit to 1Gbps on a 10Gbps line
- [1:05:34 AM] MinecraftLayer: Which means I pay $1250/mo no matter what
- [1:05:48 AM] Peter M: Whoa
- [1:05:54 AM] MinecraftLayer: Then once my usage goes over 1Gbps based on 95th percentile billing
- [1:06:07 AM] MinecraftLayer: I have to calculate $1.25/mbps on top of that $1250
- [1:06:22 AM | Edited 1:06:24 AM] MinecraftLayer: And that has to be automatic because it plays into other similar factors
- [1:06:31 AM] Peter M: Wow
- [1:06:35 AM] MinecraftLayer: I've spent literally whole days and nights making these spreadsheets
- [1:07:27 AM] Peter M: Now are you saving a lot more than you would renting or will it take a while to pay off?
- [1:07:42 AM] MinecraftLayer: That's the tricky part
- [1:07:55 AM] MinecraftLayer: For RamNode I honestly might make more renting
- [1:08:02 AM] MinecraftLayer: But there are a lot of factors that make colo better
- [1:08:17 AM] MinecraftLayer: Not the least of which is that potential clients generally don't like knowing their provider rents
- [1:08:28 AM] MinecraftLayer: If I buy the hardware myself then I'm fully in charge of it
- [1:08:36 AM] MinecraftLayer: Plus I'm tied to it - harder to just up and disappear
- [1:08:48 AM] MinecraftLayer: But the cost difference isn't substantial in the long run
- [1:08:49 AM] Peter M: True
- [1:08:59 AM] Peter M: Ok
- [1:09:08 AM] MinecraftLayer: The problem is I go from sub $900 setup/ $180/mo with renting
- [1:09:26 AM] MinecraftLayer: To $1700 capital expense, $67/mo colo costs
- [1:09:29 AM] MinecraftLayer: Per server
- [1:09:36 AM] MinecraftLayer: Eventually it evens out
- [1:09:52 AM] MinecraftLayer: But whereas it's easy to afford the first option (with my MCLayer income)
- [1:09:52 AM] Peter M: Gotcha
- [1:09:57 AM] MinecraftLayer: The second takes lots of capital
- [1:10:07 AM] MinecraftLayer: Which is why most hosts rent
- [1:10:18 AM] MinecraftLayer: Plus no one likes waiting for the ROI (return on investment)
- [1:10:26 AM] Peter M: Yep
- [1:10:29 AM] MinecraftLayer: With RamNode it's fairly quick - 3 months or so
- [1:10:38 AM] Peter M: Nice
- [1:10:42 AM] MinecraftLayer: But if I just rented out dedis to other poeple, it would be 6+ months
- [1:10:47 AM] MinecraftLayer: Which requires about 4 times the capital
- [1:10:52 AM] MinecraftLayer: Which is why I'm not doing that ha
- [1:11:01 AM] Peter M: Haha
- [1:11:42 AM] MinecraftLayer: $200k vs $55k
- [1:12:01 AM] Peter M: Wow
- [1:12:13 AM] MinecraftLayer: Yeah