In chatting with Nick about hosting, I began to realize how complex the ISP
                        game can be. These are some thoughts, all provide
                        starting points for further brainstorming and
                        discussion. 
 
We’re building our new machine for ourselves, make no
                      mistake. We took this route because it looked cost
                      effective for the needs we had for ourselves. However, we
                      can, in theory, provide services to others as well—as our
                      server is more than capable of supporting more than just
                      untyped.
 But what services would we offer, and at what cost?
 
We currently run Apache, Exim/Courier, Postgres and MySQL,
                      Subversion… in general, a full assortment of services that
                      users might want to make use of. Through judicious use of
                      LDAP, we’re hoping to expose some of these services
                      (email, WWW) without needing to provide full (shell)
                      accounts on the server. Likewise, we’re planning and
                      building scripts to automate many of our maintenance tasks
                      on the machine; we’re stopping short of CPanel, however.
 
So if we have the means to support other users, why would
                      I be hesitant? Because we are not an ISP. We are people
                      who enjoy making software. Our machine is like our
                      workbench—it provides the essential services we need to
                      make that software. Therefore, we have no interest in
                      trying to compete with your run-of-the-mill ISPs… you can
                      get a $5/month web account anywhere. So what kind of
                      hosting will we provide?
 
At the least, I imagine we might offer hosting for “odd”
                      servers and languages. By “odd”, I mean “anything not
                      Apache.” For example, we know that there might be some
                      interest in the PLT Scheme; likewise, I imagine that
                      allowing servers written in Erlang may be of interest as
                      well. Beyond that… how much bandwidth can someone expect
                      to get hosting with us? Do we provide backup services?
                      What kind of quota does a user’s account come with? What
                      kind of response time to user requests are we going to try
                      and make good on?
 Bandwidth
 
We will probably have 50GB of traffic per month in our
                      colo agreement. We will be charged beyond that as per
                      Bytemark’s policies. Therefore, I could simply pass on
                      costs to clients. Really, though, we’re not prepared to
                      deal with the administrative overhead of billing clients
                      for bandwidth, etc.; we’ll barely be in a position to
                      administer billing for basic services. Again, we’re back
                      to the mantra “we are not an ISP.”
 
We’ll have bandwidth accounting in place; how you charge
                      for bandwidth, I don’t know. Just having to administer
                      this takes time, and time is money (“We are not an ISP…”).
                      Perhaps there’s a simple way to handle this… perhaps not.
                      I need to think more on this one; insights are welcome.
 Backup
 
Backup is expensive. It takes careful scripting on the
                      host, regular movement of data from the server to a remote
                      site (see “Bandwidth,” above), and it takes time to
                      archive that to some kind of storage media. I don’t have a
                      tape jukebox anywhere near the server, nor can I afford
                      one (“We are not an ISP” ). Therefore, backup is an issue
                      of me having a second machine that runs a cron job, and
                      regularly pulls backups off the server. Then, I’ll have to
                      manually burn DVDs and/or make digital tapes archives of
                      that data. There are time and media costs involved in this
                      that are non-trivial.
 
Backup is something that typically is not offered with a
                      shell account, period. Taking a look at Mythic Beasts, their shell accounts start at £15 per quarter, they
                      offer 200MB of disk space, and there is no mention of
                      backup. I found some backup services while investigating
                      storage (below), and they charge a lot per month for 1GB
                      of backup (£25). This says to me that most hosting
                      facilities assume the following:
  - You backup your own data
  - If the server dies, you’re on your own
  
 
I’m not committed to either route at this point, but it’s
                      clear that I should charge money for backup services. I’m
                      willing to spend my time to guarantee my own data’s
                      safety, but I’m not willing to do that for others, for
                      free.
 Storage
 
What kind of quotas should we provide users? What can I
                      get shopping around the internet?
  
  
 
  
  
 
 Epinions has more commentary on online storage than I care to
                      duplicate here. I myself have a 1GB Box.net account, and am quite pleased with it—their pricing is
                      competitive, and the interface to the site, as well as
                      features (instant photo albums, passwords, RSS feeds) are
                      great.
 
Point being? If I’m going to offer space, I have to charge
                      at least £1.75/GB; and since we’re not really in this
                      market space to compete, I’d probably have to charge more
                      than that (due to the administrative overheads, and
                      limited resources on our own machine). Furthermore, that’s
                      assuming it’s a gigabyte of unarchived storage.
                      It looks like sites that actually offer backup of a
                      gigabyte of data charge around £25/month for a gigabyte of
                      content that gets archived monthly. This doesn’t surprise
                      me in the least—offering security is an expensive
                      proposition, both in terms of tools and in terms of time.
 
Again, comparing, Mythic Beasts charge £30 per month for a “developer” account with 1GB
                      of disk (no backup). The reality is (because we’re not an
                      ISP), we only have one server, with limited disk space. I
                      can resell storage from Bytemark, which eases the stress
                      on my own disks… but as can be seen, having active disk
                      space that you can serve out to the world costs money.
 Administration
 
All these services take time to administer. Yes, we have
                      to do it for ourselves… but it’s another thing entirely to
                      have customers who want guarantees, and support when
                      things go wrong (regardless of whether it is at our end or
                      their end). What does administration cost? I can look at
                      other ISPs and see what they charge for adding a
                      subdomain, or configuring databases, or any of a host of
                      things… and I don’t want to get trapped in a situation
                      where we offer to do these things “for free,” and end up
                      playing sysadmin to a bunch of customers without any
                      recompense.
 Again, this is a tough one.
 In Conclusion… or, something like that
 
This isn’t necessarily the kind of laundry a small
                      business should air in public. Typically, this is the kind
                      of uncertainty that would be kept private, resolved
                      off-line, and then published to the world as policy.
                      However, these are probably the kind of questions that
                      others have wrestled with in their time, and it’s possible
                      someone who reads untyping may have some insights into
                      these issues that we don’t have. Given that we only have
                      one machine (“We are not an ISP”), it may be that we
                      should avoid hosting altogether. Or perhaps we can come up
                      with some reasonable terms of service and pricing
                      structures that reflect the quality and nature of services
                      we will offer. Who knows? Either way, they’re challenging
                      questions.