iWeb8.com case; The puzzling situation of hardware evolution and dedicated servers

The following article will be published in the July edition of the Web Host Industry Review magazine in the Product Service Announcement section .
Dedicated server specialists are unanimous: with the changes brought to the entire spectrum of Intel processors, the latest technological improvements have been (and in some cases still are) a real puzzle! From the integration and positioning of existing offers to the questions from customers who try to compare different technologies offered by competitor companies, everyone is having to adjust! How to customize an offer with Core2 Quad processors while they have no equivalent for the moment? How do you explain that the new Celeron 1,6Ghz processors is more powerful than the former Celeron 3,0Ghz generation? How do you justify the significant decline in cost for the Core2 processors to the thousands of customers who have paid top-dollar for it?
At iWeb8.com, the transition was made in a drastic way; a revision of all their offers! Indeed, for most Web hosts, the processor is the main unit of comparison between offers, and iWeb8.com is no exception to this rule. We have almost 20 dedicated server plans with Intel processors besides the AMD offers and we intend to keep our pricing structure the way it is; which is appreciated by the customers. We chose not to go with the gradual integration of new processors, as to avoid a high level of mismatch when customers compare the offers. By changing 100% of the processors in every offer, the “streamlined” approach keeps it easy for customers to measure, understand and maximize the value of each offer.
As the majority of readers may already know, the processor improvements of the past few months were made on several levels. Faster FSB, higher cache memory and a improved processor conception (for “single” or “multiple” core) which improves performance while consuming less power generating less heat. The improved processor conception is mainly what makes the recent standard comparison unit obsolete (the power of the CPU in Ghz), Foreseeing the market’s conversion to this new paradigm in the near future, iWeb8.com has completed the technological migration and elaboration of these new offers.
| iWeb8.com Server Evolution | ||
| Celeron D | upgraded to: | New Generation CELERON |
| Pentium 4 Hyper Thread | upgraded to: | Pentium E (The NEW Dual-Core) |
| Pentium D | upgraded to: | Core 2 Duo |
| Core 2 Duo | upgraded to: | Core 2 Quad |
| Pro Duo (Dual XEON) Servers | ||
| Xeon Dempsey | upgraded to: | Xeon Woodcrest |
| Xeon Woodcrest | upgradable to: | Dual Xeon Quad Core (2x Quad Core means the power of 8 processors!) |
But what do we do with the customers who purchased “previous technologies” and who ask for the benefits of newer technologies, or application of the new pricing? Once the term and/or current contract is up, our Account Managers help customers re-assess their needs and requirements to find the new technology that best meets current needs. This helps clients take advantage of the new technology at a lower cost; and is a common practice at iWeb8.com. This flexibility is effectively an unmistakable advantage of the dedicated servers compared to the colocation services; you reap the benefits of the newest technology at the same price point.
iWeb invites you to visit its site at the address http://iWeb8.com for more details about these new offers and to discuss with their qualified personel who will answer all your questions related to the new offers. The iWeb8.com team will be able to guide you through this puzzle which represent the technological changes.

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August 1st, 2007 10:11 pm
Just curious… what happens to all the ‘old’ technology? Do you have a giant pit under each Datacenter that acts a graveyard for old servers?
August 7th, 2007 3:40 pm
Almost all of the old technology hardware is reused.
Martin
August 14th, 2007 1:24 pm
One important thing to remember is that database licence can be per CPU or per CORE. For exemple Oracle charge per core, so your Dual Xeon Quad Core is in fact 8 CPU, which is costly.
Microsoft SQL Server Express on the other side, is free for one CPU, any number of core. Take a Quad Core and voilà, you got a free database running on 4 CPU.
September 11th, 2007 11:15 am
[...] Please note that this answer reproduce what we once published on this blog. [...]