I recently bought two dell vostro dual core 2.66GHZ with 2GB RAM and 320GB disks for about GBP300 / $600 each. I put windows server 2003 on these machines and shut out all the services I didnt need. These machines are just so unbelieveably fast, running my .net 2.0/sql 2005 web application. And seem to cope as well as a server under high usage stress testing. So far so good.
Now as I roll out my app for hosted Software as a Service, I am left wondering if a leased line with machines like these would be a better bet than renting servers from rackspace. A 10mbps leased line from a good uk provider will cost me GBP 7500 / $15000 a year, and I can have as many boxes on it as I like for GBP300 each + windows licence + a cisco 506 firewall + a few bits.
One single Dell Poweredge blade server of a similar spec would cost me about GBP7000 per year from rackspace.
The workload for running the boxes day to day is the same on rackspace or hosted here, so what am I losing out on ? Why choose poweredge over vostro, and why choose a hosting center over hosting yourself.
Any discussion or views welcome. thanks