Re:DigitalOcean raises $100M in debt as it scales toward rev...
by nine_k on Thursday February 20, 2020 @09:00PM
(#22380366)
Two words: "egress cost".
Currently both AWS and GCE cost is multiple times more per gigabyte served, compared to DO. E.g. AWS S3 is $0.09 per gigabyte served, while Do Spaces is about $0.01.
For certain businesses, traffic is a major cost, and paying many tomes as much for it could make them unprofitable.
So no, a cloud provider of the DO class must be long-term viable, just in a different niche.
Currently both AWS and GCE cost is multiple times more per gigabyte served, compared to DO. E.g. AWS S3 is $0.09 per gigabyte served, while Do Spaces is about $0.01.
For certain businesses, traffic is a major cost, and paying many tomes as much for it could make them unprofitable.
So no, a cloud provider of the DO class must be long-term viable, just in a different niche.