Cloud Money

ProfitBricks Reduces Cloud Infrastructure Prices by 30 Percent

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ProfitBricks has slashed its infrastructure prices by 30 percent, improving the price and performance proposition of its “unbound cloud” model, the company announced Wednesday. The price drop is double that of the industry leader AWS by percentage, according to ProfitBricks.

The latest price reduction brings the cost of a ProfitBricks cloud instance with two dedicated CPU cores, 7.5GB of RAM and 500GB of storage to $73.95 monthly, while the company says the equivalent AWS service would cost $138.38.

“With our approach, customers can tailor their service to meet their exact requirements, and avoid over- or under-buying of cloud infrastructure,” said Andreas Gauger, co-founder of ProfitBricks. “It’s an ‘unbound’ philosophy that we feel delivers on the true promise the cloud was intended to be. We kicked off the current price war with a 50 percent drop in July 2013 and we are now seeing the largest players in the industry resort to the old, tired pricing, packaging and lock-in schemes of yesterday’s enterprise IT.”

In an interview with the WHIR earlier this month, Gauger said that while price is important, performance is really what sets ProfitBricks apart.

Touting its InfiniBand network interconnects-based platform and KVM hypervisor, ProfitBricks says its 80 GB/s throughput also represents better performance than many competitors. It is also counting on its API support for developers as it attempts to win market share over AWS.

By opening a San Antonio office in August and expanding its US presence in October, ProfitBricks upgraded the performance of its services.

ProfitBricks also slashed prices in the summer of 2013, amid a series of price cuts across the industry.

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