There’s initial investment on the initial servers (and the software), and afterwards it should be a linear increase of server costs per user, with some bumps along the way to interconnect those servers.
The cost also scales per content. Because that means more caching servers per user and bigger databases, and licenses.
So this service has less users and more content, it should be way more expensive. The only reason they are cheaper is because they don’t pay those licenses.
The cost of storage in this case is more or less irrelevant - traffic is what matters here. You’re also not getting any mentionable bulk discount on the servers for that matter.
The key is that you can engineer things in completely different way when you have trivial amounts of traffic hitting your systems - you can do things that will not scale in any way, shape or form.
Prices should go down with scale not up though.
There’s initial investment on the initial servers (and the software), and afterwards it should be a linear increase of server costs per user, with some bumps along the way to interconnect those servers.
The cost also scales per content. Because that means more caching servers per user and bigger databases, and licenses.
So this service has less users and more content, it should be way more expensive. The only reason they are cheaper is because they don’t pay those licenses.
The cost of storage in this case is more or less irrelevant - traffic is what matters here. You’re also not getting any mentionable bulk discount on the servers for that matter.
The key is that you can engineer things in completely different way when you have trivial amounts of traffic hitting your systems - you can do things that will not scale in any way, shape or form.