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Excellent writeup. With so many hosting companies operating what amount to pyramid schemes (even if they don’t realize or admit it), it’s great to see something like NFSN’s pay-for-what-you-use approach.

Also, I think the comparison with Amazon S3 is right on — not that NFSN and S3 are doing the same thing, but they’re both doing interesting work with virtualization. It looks like both the low end (traditional shared hosting) and the high end (dedicated servers) are going to keep getting squeezed by smarter virtualized approaches like these.

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