[GLLUG] Amazon EC2 vs Hetzner dedicated box. Am I missing the obvious?

gvim gvimrc at gmail.com
Tue Aug 5 23:41:27 UTC 2014

I'm a bit green when it comes to the whole cloud compute thing but I 
just read a recommendation that a Rails app which expects significant 
traffic should be hosted on an Amazon EC2 m3.medium. So that would get me:

1 vCPU
3.75 GB RAM
4GB SSD storage

... for $0.077 per hour = £398/year.

At Hetzner (hetzner.de) I can get a dedicated EX40 with these specs:

Quad-core i7-4480 Haswell
2 x 2TB SATA 7200rpm

.... for £465/year or £560/year with 2 x 240GB SSDs.

I just don't understand how the cloud option is economically viable at 
current prices. OK, there's obviously the added reliability and less 
need for admin with SaaS but if you know how to manage your own boxen I 
can't see the advantage.


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