Are You Being Scammed? The ‘Unlimited’ host debate!

Dec 26th, 2010 | By | Category: Domain Scam & Legal Issues
by Jack

Unlimited hosts. Liars? Thieves? Scammers? One of the biggest debates that has gripped the hosting industry for years.

Unlimited web hosting companies exist to generate that quick dollar sale. They suck the clueless in to the dream world that we can use whatever we want and whenever we want for low cost. But why do people chose unlimited hosts?

One of the biggest unlimited hosts out there is HostGator, its servers hold over 1.3million domains from clients across the world. It’s $7.95 per month package allows you to have an all you can eat buffet on domains, space and bandwidth – where’s the catch? Just about everything has a limit in this world, and you frankly don’t get everything for free.

Imagine your phone company offering an unlimited calls and SMS plan for only $40/mo, while another company only offers 1000 calls and 250 SMS for $40/mo. Which one are you going to chose? I know that I would have chosen the unlimited phone company because I feel like I am getting the most out of my money. But realistically, am I? Coming back down to Earth, what is the quality of that phone companies services going to be like, it is highly likely that it will be down a few times a month and/ or have poor coverage so you can’t actually use those ‘unlimited’ calls when you really want to use them.

So, why do people still choose unlimited hosts?

Consumers are unaware of the limitations of web hosting, as with the unlimited phone package it feels you get more for your money as well as being an attractive offer due to the lack of effort that the consumer feels they have to go to track they are not using their resources and/ or fear of overcharges.

The hosting market is saturated and very competitive, the ‘unlimited’ plans are just a marketing trick in order to get large amounts of money in one go, but not necessarily dishonestly. These hosting businesses oversell resources; they expect people to use less than allocated which means that they can resell the resources again to someone else in order to gain profit. This is a risk for the hosting businesses so they combat by suspending users with “pathetic excuses” before the servers run out of their limited resources.

However, unlimited hosts do deserve a fair representation. Some long term unlimited hosts, like HostGator, provide a very good quality of service and support. Hosting from HostGator is ideal for people that know their websites will use a very small amount of resources as it is highly unlikely you will be suspended. If your website is extremely popular and uses a lot of bandwidth and resources then I suggest contacting a premium web hosting and consider premium shared hosting or maybe even a VPS or Dedicated server.

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