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Unlimited Reseller Hosting Plans
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Why?
Because there is no such thing as unlimited anything, especially disk space and bandwidth. There are always limits to the size of a disk or the size of the "pipe". It's possible that a web host can have an “unmetered” Internet connection, but it is not unlimited.
The bandwidth provider might not be metering the bandwidth, but the host is indeed bound by the speed of the Internet connection.
So when you place many accounts on that one connection, it becomes even less unlimited and, therefore, cannot accurately represent what was advertised.
It's really About Marketing
This doesn't necessarily mean that unlimited reseller hosting plans are never any good, only that you must recognize them for what they are, marketing ploys.
It is quite common for companies in different industries to use a variety of “unlimited” marketing gimmicks to boost sales. It doesn’t mean their products and services are not of value. It's just that you must recognize these offers for what they really are and do your homework before signing up for them.
Over-deliver. Don't over-sell.
In the web hosting industry, companies that offer unlimited storage and bandwidth are greatly overselling their web servers's capabilities. This inevitably leads to trouble in the long run, and can even lead to the demise of their business.
Understand The Risks
There is nothing unethical about this practice. It's just that it carries a lot of risk for the company who engages in it. Some web hosts have been able to sell unlimited reseller hosting plans and pull it off with few problems, but these are the exceptions and there is no guarantee that they will be able to do it indefinitely.
If you intend to remain in the web hosting business for a long time, or to build a professional hosting business that you can sell someday for a nice profit, then buying and selling plans with reasonable, fixed limits is the way to go.
Another other reason why unlimited reseller hosting plans should be approached with caution is that they frequently offered by new, inexperienced web hosts desperate to compete in a cutthroat industry.
It's A Zero Sum Game
Finally, many web hosts believe it's OK to offer an unlimited number of domains provided they remain within their alotted bandwidth and disk space. Unfortunately, this can also lead to performance problems because a web server's overall speed and stability is affected by the number of active websites being hosted on it.
The Bottom Line
Web hosts who offer a generous alotment of domains, rather than an unlimited number, are more likely to represent the best option because they provide a generous quota of accounts while reducing the risk of server abuse.
Well established, experienced web hosts can usually succeed at this by actively balancing the loads on their servera and by closely monitoring resource utilization.
I need to make this qualification, in part, because, from time to time, we do recommend web hosts who offer “unlimited” domains for VPS and private label hosting resellers.
These well established web hosts have demonstrated, over the long term, that they have the technical skills needed to maintain well balanced web servers.
Also, they don't claim to offer unlimited storage or bandwidth. It is essentially the unlimited storage and bandwidth offers that should be approached with great caution.
Unlimited Reseller Hosting Plans
