All Cloud, No Front—Straight up Cloud Pricing, Now With Even More Price Control and Transparency

July 2, 2015

Yesterday, we announced a new pricing model that provides customers with even more visibility and control over cloud infrastructure costs.

While other cloud providers advertise “low” prices for incomplete solutions, they neglect to mention extra charges for essential resources like network bandwidth, primary system storage, and support.

At SoftLayer, our servers already include these necessary resources at no additional charge. That’s because we want to provide our customers with unmatched value and the best performance for price, which makes it easier to see actual costs of cloud solutions and budget accordingly.

Our new pricing model includes a redeveloped ordering and provisioning system that offers even more granular pricing for every SoftLayer bare metal and virtual server, from the processor to the RAM, storage, networking, security, and more.

With this new pricing announcement, we’re also introducing new configuration options for bare metal servers, including increased RAM—up to 3TB—and two new SSD drive options—960GB and 1.2TB.

To fully understand the benefits of our new pricing model, let’s take a look at the example below for an Intel Dual Xeon E5-2620 (4U) server.

You can see that our new pricing saves customers ordering this server $1,780 (or 39 percent) over the old pricing model.

Additionally, as part of yesterday's announcement, we’re launching new pricing for services based on data center location. Location-based pricing displays unique pricing for each data center and removes flat- and percentage-based surcharges, giving customers even more price transparency.

You can learn more about SoftLayer’s pricing philosophy on our website.

-Brent

Comments

July 4th, 2015 at 1:45pm

Hi,
I see like you are increasing the prices a lot. Your example dont include the bandwith, and I think you forgot it. I dont want to think you are trying to hide all costs, but for transparency you must include it.

I have 5 servers. Taking as example one (best.experto-hosting.com). Today I pay 248 USD. With the new prices (and the current hardware offered) I will pay 618 USD (see https://www.softlayer.com/Store/completeQuote/b71292bdae3bcfc334c545becb...), including 370 USD for bandwith. Without the bandwith, I will pay 248 USD. I undersatand that 500 GB include are sufficient for most of customers, but compared with AWS 5 TB costs 148 USD.

I am your customer since 2010 (I think, not sure), but maybe I will begin to look for new providers.

Thank you for your time.

July 8th, 2015 at 2:36pm

Excessive price growing, in some cases 1000%. Before any cloud server came with 5000Gb for monthly bandwith for free/included, now the price list is $370 for 5000Gg, and bare metal have the same problem. No competitive and non previsible.
Moving . . .

July 8th, 2015 at 7:41pm

I agree with Urano. The new bandwidth pricing seems outrageous. We were thinking to slowly move our remaining services from other providers to Softlayer, now that should be reconsidered.

July 19th, 2015 at 2:20pm

We too see a SUBSTANTIAL price increase. Last year every server we purchased came with 20000GB of bandwidth, now the same server (for the same price) comes with 500GB. Sorry SoftLayer, this is a price increase no matter how you look at it. We are scaling back as fast as we can to Google Cloud and AWS.

Chuck

July 22nd, 2015 at 1:29am

The new bandwidth costs are excessive. Before I can have 20TB bandwidth, with the new model it gets more than $1,500 USD !! I think this was not a smart move.

July 28th, 2015 at 2:17pm

IBM's decision to drop the included bandwidth from 20TB to 500GB from one day to the other has seriously affected my business model and my clients' costs.
Paying 370 USD for 5000 GB is not competitive. I am already considering to move some of my clients away from Softlayer to other data centers with cheaper bandwidth.

July 28th, 2015 at 2:55pm

I have to also agree. The pricing is a huge increase in price and is absolutely not anywhere near competitive with other providers. We simply wont be able to continue using softlayer at these prices. #PleaseComeBackToReality!

July 28th, 2015 at 3:25pm

This is a great move - transparent pricing is always welcomed by customers. We received a notice in newsletter about new price increase. This is how a professional company does it, through a newsletter, so customers are on time notified to cancel services and move to a cheaper competitor. Previous prices were not transparent enough as everything was so much cheaper, so this was bad. Now it's so much better offer, transparent but expensive. We are moving to another hosting as we like cheaper prices. I believe Softleyer raised prices due to oil price decrease and pollution of atmosphere caused by their VPS servers. I'm sure most of customers will like this new price increase as it's a transparent increase.

July 29th, 2015 at 2:37am

Agree with the others. Softlayer is not being transparent about the huge increase in bandwidth cost. I could not afford to stay with Softlayer if I had to pay for the 5000GB that was previously included in the cost of each cloud instance. I'm hoping that there are no plans to roll existing cloud servers to the new pricing model. If you really want to claim to be transparent with your new pricing you should provide a side by side comparison of the new pricing with the old and show the $370/month difference for a cloud instance.

 

October 28th, 2015 at 6:21am

Yes the new pricing is insane. I used to recommend Softlayer to everyone and swore by it. Now they have effectively priced themselves out of existence. To buy today the servers that I am currently running cost 5 times as much money.

In the past I was able to get 5000GB bandwidth included now it it 1/10 that!
In the past 4GB ram was standard now it is 2GB.
In the past 1TB was standard now 500GB, hell they even tossed in an extra one for free.

In the above example what it really tells us is that the price of HDDs dropped, the price of ram went up and the price of bandwidth is too much to even mention.

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Comments

July 4th, 2015 at 1:45pm

Hi,
I see like you are increasing the prices a lot. Your example dont include the bandwith, and I think you forgot it. I dont want to think you are trying to hide all costs, but for transparency you must include it.

I have 5 servers. Taking as example one (best.experto-hosting.com). Today I pay 248 USD. With the new prices (and the current hardware offered) I will pay 618 USD (see https://www.softlayer.com/Store/completeQuote/b71292bdae3bcfc334c545becb...), including 370 USD for bandwith. Without the bandwith, I will pay 248 USD. I undersatand that 500 GB include are sufficient for most of customers, but compared with AWS 5 TB costs 148 USD.

I am your customer since 2010 (I think, not sure), but maybe I will begin to look for new providers.

Thank you for your time.

July 8th, 2015 at 2:36pm

Excessive price growing, in some cases 1000%. Before any cloud server came with 5000Gb for monthly bandwith for free/included, now the price list is $370 for 5000Gg, and bare metal have the same problem. No competitive and non previsible.
Moving . . .

July 8th, 2015 at 7:41pm

I agree with Urano. The new bandwidth pricing seems outrageous. We were thinking to slowly move our remaining services from other providers to Softlayer, now that should be reconsidered.

July 19th, 2015 at 2:20pm

We too see a SUBSTANTIAL price increase. Last year every server we purchased came with 20000GB of bandwidth, now the same server (for the same price) comes with 500GB. Sorry SoftLayer, this is a price increase no matter how you look at it. We are scaling back as fast as we can to Google Cloud and AWS.

Chuck

July 22nd, 2015 at 1:29am

The new bandwidth costs are excessive. Before I can have 20TB bandwidth, with the new model it gets more than $1,500 USD !! I think this was not a smart move.

July 28th, 2015 at 2:17pm

IBM's decision to drop the included bandwidth from 20TB to 500GB from one day to the other has seriously affected my business model and my clients' costs.
Paying 370 USD for 5000 GB is not competitive. I am already considering to move some of my clients away from Softlayer to other data centers with cheaper bandwidth.

July 28th, 2015 at 2:55pm

I have to also agree. The pricing is a huge increase in price and is absolutely not anywhere near competitive with other providers. We simply wont be able to continue using softlayer at these prices. #PleaseComeBackToReality!

July 28th, 2015 at 3:25pm

This is a great move - transparent pricing is always welcomed by customers. We received a notice in newsletter about new price increase. This is how a professional company does it, through a newsletter, so customers are on time notified to cancel services and move to a cheaper competitor. Previous prices were not transparent enough as everything was so much cheaper, so this was bad. Now it's so much better offer, transparent but expensive. We are moving to another hosting as we like cheaper prices. I believe Softleyer raised prices due to oil price decrease and pollution of atmosphere caused by their VPS servers. I'm sure most of customers will like this new price increase as it's a transparent increase.

July 29th, 2015 at 2:37am

Agree with the others. Softlayer is not being transparent about the huge increase in bandwidth cost. I could not afford to stay with Softlayer if I had to pay for the 5000GB that was previously included in the cost of each cloud instance. I'm hoping that there are no plans to roll existing cloud servers to the new pricing model. If you really want to claim to be transparent with your new pricing you should provide a side by side comparison of the new pricing with the old and show the $370/month difference for a cloud instance.

 

October 28th, 2015 at 6:21am

Yes the new pricing is insane. I used to recommend Softlayer to everyone and swore by it. Now they have effectively priced themselves out of existence. To buy today the servers that I am currently running cost 5 times as much money.

In the past I was able to get 5000GB bandwidth included now it it 1/10 that!
In the past 4GB ram was standard now it is 2GB.
In the past 1TB was standard now 500GB, hell they even tossed in an extra one for free.

In the above example what it really tells us is that the price of HDDs dropped, the price of ram went up and the price of bandwidth is too much to even mention.

Leave a Reply

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  • Web page addresses and e-mail addresses turn into links automatically.
  • You can enable syntax highlighting of source code with the following tags: <pre>, <blockcode>, <bash>, <c>, <cpp>, <drupal5>, <drupal6>, <java>, <javascript>, <php>, <python>, <ruby>. The supported tag styles are: <foo>, [foo].
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  • Lines and paragraphs break automatically.

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  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.