How we price instances, explaining changes to established rates, and the availability of discounts.
Pricing a physical server is really the sum of its parts - from switching and cables down to the actual chassis. Of course, the most important cost is associated with the physical assets of the server - the processor, RAM, disks, etc.
At Packet, we try to keep pricing simple, with clear hourly rates and discounts for committed (monthly or annual) usage. No multi-tenancy means that you get 100% access to all of the resources in a server - no sharing!
While the price of these components from our suppliers vary substantially over time (not to mention the wildly different cost of power and datacenter space throughout the world) we do our best to smooth out the difference and keep prices stable.
Like most other companies, Packet offers aggressive discounts for term commitments. While exact discounts vary by volume and other factors, average users can expect to save 20% or more.