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Home Server Or VPS? One Family's Math

toygeek writes "Which is cheaper: Running a server from home, or renting a VPS (Virtual Private Server)? We're trying to pinch pennies where we can, and my son Derrick suggested upgrading an extra PC we have and running his Minecraft server at home. Would it save enough money to be worth it? I wanted to share the results of my analysis with my Slashdot brethren." The upshot in this case? "Overall it is VERY cost effective for us to run the home server."

30 of 380 comments (clear)

  1. Free Hardware by ShanghaiBill · · Score: 5, Informative

    The problem with his analysis is that he assumes the hardware is free. Also, not many people pay a marginal rate of $0.066/kW-hr for electricity.

    1. Re:Free Hardware by dec3 · · Score: 4, Informative

      Price of electricity clearly depends upon where you live. I recently moved to Ohio (from California) and find that $0.0649/kW-hr is a pretty normal price (depending upon who you selected as an energy provider and when you locked in your rate, etc., etc.)

      I know from a California point of view, 0.066/kW-hr might seem really cheap, but California has its own problems when it comes to power.

    2. Re:Free Hardware by Anonymous Coward · · Score: 3, Informative

      Germany here. We have around 0.25 EUR / kW-hr. That's about 0.34 USD.

    3. Re:Free Hardware by DogDude · · Score: 4, Insightful

      Computer hardware is just about free. My home server was either a giveaway from a friend or a $10 box from a thrift store.Don't remember. Brand new 3 TB drives are only $160 right now.

      Anybody paying any serious money for computer equipment in this day and age is just throwing away money. I run my house and my medium sized business all on thrift store or refurbished computers. I've never paid more than $50 for a desktop, $300 for a blade server (a nice Dell one with redundant power, redundant Ethernet, hardware RAID, and all of that good stuff), or $400 for a laptop (currently, running an i5 with a 17" screen and a TB HD). Buying new computer hardware is a much worse investment than buying even a new car.

      With that being said, to people who buy new computer equipment: THANK YOU!

      --
      I don't respond to AC's.
    4. Re:Free Hardware by Phreakiture · · Score: 4, Interesting

      As always, location is key. I pay $0.17/kWh where I am located. I know for a fact that one of my friends who lives on the other end of the state only pays around $0.065/kWh, and I have heard that folks to my south pay as much as $0.25/kWh, all inside the bounds of one state.

      --
      www.wavefront-av.com
    5. Re:Free Hardware by asdf7890 · · Score: 3, Interesting

      With old hardware you need to adjust the maths a little with regard to the cost of power consumption. Newer processors and power supplies are much better at consuming less power when idle, and that is before accounting for physical components (processor and PSU fans for instance) getting less efficient with age and use. Also any extra waste heat generated is going to cost you in an air conditioned environment (and even if you are in a cold climate, that waste heat is hardly an efficient method of addressing that).

    6. Re:Free Hardware by mcrbids · · Score: 4, Interesting

      There's a time and place for everything. For most techie types, you can do fantastic amounts of real work with free hardware. I have a number of such embedded servers working for me, junkers from the back closet and past upgrades.

      I still have a 500 Mhz Pentium III running 24x7 as a network monitor! 10 years of continuous, 24x7 service and it is still chugging along, currently running a 32 bit CentOS 6 distro. It burns less than 20 watts!

      On the other hand, there's a time when money isn't much of an object. We have 4 32-core database servers with 128 GB of ECC RAM in each in our primary compute cluster. In absolute cost, they were not the slightest bit cheap despite being "white box" servers, but relative to the amount of work they perform, it was money very well spent.

      When you have high processing loads, more powerful equipment allows you to do the same work with less administrative overhead since the number of units can be much smaller.

      --
      I have no problem with your religion until you decide it's reason to deprive others of the truth.
  2. Uh.. bandwidth? by Anrego · · Score: 4, Insightful

    The word doesn’t even appear in the article... yet it’s probably the biggest consideration when looking at a server, be it local, shared/vps, or dedicated.

    Hardware and even power are cheap by comparison. It’s definitely gonna be the limiting factor of what you can do with a home server (especially a decently sized minecraft server or one that uses a lot of mods..). If you can get a home fibre connection you might be ok, but reading the article, this guy is probably on dialup.. so good luck with that!

    1. Re:Uh.. bandwidth? by Culture20 · · Score: 4, Insightful

      If its use is all at home, then you get much better bandwidth by having the server at home.

    2. Re:Uh.. bandwidth? by jb11 · · Score: 5, Informative

      Also keep in mind that many ISPs frown on running home servers. If the server gets popular it could be a problem for the provider.

    3. Re:Uh.. bandwidth? by SJHillman · · Score: 3, Informative

      It gets nice and toasty, even idling, but it's in the basement which stays cool year-round and keeps the fan noise where it won't bother anyone. The waste heat is pointed at the water heater a few feet away (only place the rack would fit), so hopefully it's saving me a few bucks by keeping that a little warmer.

      Anecdotally, don't trust whomever wired your building. Found out the hard way that one outlet in the basement is, for unknown reasons, on the same circuit as the entire second floor... including the master bathroom. Got my girlfriend a new hairdryer for Christmas and didn't have any UPS units then... you can see where this is going. On the bright side, it only fried the power supply of the backup server ($20 to replace). I spent the $50 to get a trio of 1500VA UPS off Craigslist and moved the whole thing to it's own circuit that it only shares with a few CFLs in the basement.

    4. Re:Uh.. bandwidth? by jandrese · · Score: 3, Informative

      Minecraft is pretty bad in this regard too. Each player connected to a server needs about 1mbps if they don't want to stutter when running around the world. I run a Minecraft server from my house, but it only serves 4-6 people and I have a FiOS connection with 25mbps uplink.

      --

      I read the internet for the articles.
  3. Can you replace your whole system for that price? by damn_registrars · · Score: 4, Interesting

    Sure, you can replace a PS or HD for less than the annual savings, but what if something bigger than that goes out? You are also ignoring the value of your time, as you would put a fair bit of time in to recovering from either of those losses.

    That said, I run my own home server, but it's not something I do to save money. I run my own server because it allows me to configure it exactly how I want it configured and I know exactly how it is managed.

    --
    Damn_registrars has no butt-hole. Damn_registrars has no use for a butt-hole.
  4. Well, yes, if you pay over-the-odds for VPS by jareth-0205 · · Score: 3, Informative

    I think you can get a better deal.

    http://www.lowendbox.com/

    For eg, I have a box from stormvz.com/vps.html and I get a box comparable with the one in the article for £4.25/month.

  5. Server on residential internet service by GrBear · · Score: 4, Informative

    The costs calculated are likely flawed, as is the performance. First off, the majority of ISP's forbid running any type of server (with a world facing connection) on a residential package service.

    Secondly, as one who used to run a Tekkit server for some friends on a co-located (i5-3550k/8GB RAM) Ubuntu server, Minecraft requires good upstream speed to host more than 3-4 connections. Even at 10Mbps upstream, having more than 5 people on started to lag everyone slightly.. the more users of course, the worse it got.

    It's one thing to run a intranet for XMBC, but whole different ballgame once you start have a world facing server.

  6. What about hybrid? by scorp1us · · Score: 3, Interesting

    Do you really want all that traffic coming directly to you? The author points out home IPs can chance. Why get rid of the VPS storage and RAM and get one with cheap or unlimited bandwidth, then use a VPN to make your home server appear as if it is directly connected to the internet? This fixes the IP changing problem and does not give away your home address.

    --
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  7. Only Minecraft? by balsy2001 · · Score: 3, Insightful

    If it is only for minecraft? If so, and you are trying to pinch pennies, have the kid stop playing minecraft and get a job.

    --
    GENERATION 27: The first time you see this, copy it into your sig on any forum and add 1 to the generation.
  8. This counts as news for nerds / stuff that matters by Anonymous Coward · · Score: 4, Funny

    I am very interested in some guy's analysis of his son's minecraft server and his almost $300 annual cost savings! Can we talk about coupon strategies now and whether a Costco membership is worth it?

  9. I'd go with the VPS by LVSlushdat · · Score: 3, Interesting

    I rent several Xen-based 512mb Linux virtual servers to run some club websites, and a mail server. They cost me a total of $28.50 semi-annually each (or $5/mo monthly). They include 20GB of disk space, and a 1TB/month transfer. I also have an older Dell 1U server which I'm gonna be retiring soon, as it's sucking my electric bill down to ruin. I'm planning to sign up for another VPS and migrate the functions on the Dell box over. Of course, you have to weigh the cost of bandwidth to/from this VPS, ie: if you're on an ISP who cheats you with a absurdly low monthly cap. If you're not a big Linux fan, they also have Xen-based Windows offerings at slightly higher prices.. In case you're interested, google "virpus networks"... I don't own em, work for em, have stock in em, just a happy customer...

    --
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  10. Uh... backups? by QuietLagoon · · Score: 4, Insightful

    Most of the VPS servers I've seen have some manner of backup included in the price. I didn't see any cost included in the home server for backups. Or a UPS, for that matter.

  11. Lifecycle costs by unixluv · · Score: 3, Insightful

    The comparison isn't quite valid. You are looking at short term costs, but you neglect the long term costs. A business will factor in things like what it will cost to replace the VPS every 3 years. If your system isn't up to snuff in a year or two, have you put enough aside to replace it? Lets say a new system will cost you $450. That means you need to add $150 per year to factor that in. As some others have said, you ignore the network costs. There is a cost (maybe to you it is intangible) for using your home network. You can say it doesn't cost, but the cost is not $0. Maybe 10% is a better number. Anyways, these are the kinds of things that commercial companies grapple with in the pricing models.

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  12. Re:Can you replace your whole system for that pric by Gaygirlie · · Score: 4, Insightful

    You are also ignoring the value of your time, as you would put a fair bit of time in to recovering from either of those losses.

    How does one value one's time, anyways? From reading the article it seems the poster's son is interested in stuff like this and likes running a Minecraft - server, so it would be a hobby for him and therefore any time spent on recovering from losses would still be within the limits of an educational hobby. Other people could use that time for e.g. watching the TV, but is that really any more a valuable way of spending one's time?

  13. DOS protection, Infra redundancy, Security by thereitis · · Score: 4, Insightful

    With a proper hosting company you should have better hardware redundancy than you would get with a home setup. More than one network link, for example, and redundant switching hardware. You'd also have staff monitoring network status and responding to DOS attacks. I'm not sure how you'd handle a DOS against a home server. Another thing is security - if you've got your tax returns and other personal documents accessible on your home network - the same one the minecraft server is running on - you may be putting those at risk to a security breach. So yeah, it's cheaper to run at home, but you're not getting all the extras that a VPS has, either. That said, starting with a server at home is a good test to see if you want to trade up to a more expensive, hosted setup later on (when you have a user base and cash donations start coming in).

  14. Seriously, Slashdot? by ledow · · Score: 5, Interesting

    We have a blog post about how much electricity it costs to run a server at home and comparing-apples-to-oranges (nothing considered - or mostly just neatly glossed over - in terms of maintenance, uptime, hardware expense, noise, upstream connectivity, etc.). And for a games server (so the most vital of all possible servers).

    This is yet-another mark against the name of "news for nerds". A two-second calculation that any of us could make (and probably have a hundred times) with a $5 watt meter and an electricity bill, posing as an "article" for "nerds".

    I run a VPS. You know why? Because I can get it to do everything I do on my Linux servers at home, but it's sitting in a datacentre with ridiculous amounts of bandwidth available to it (I think I get 5Tb of traffic before anyone even asks questions, and upload/download at stupid speeds all day long) and is managed by someone else - starting at £10 a month, I've gone up to £30 a month for more RAM, more data allowance, and proper backups.

    I run dedicated servers for work - same reasons. Of course we could do it in-house, that's not the point. The point is that you only pay for an external server if you need external connectivity or management, and that's a question that doesn't have a "opinion" answer, so much as a binary yes/no answer about whether you should do it or not. You don't run email servers from your home ADSL and you don't download gigabytes of movies or whatever to your VPS only to then have to trickle-feed them back to your home PC anyway.

    And for most things you need, the cheapest of cheap VPS's with a decent host will be able to do everything you want. If you want to do specialist gaming servers, look at gaming server hosts. They are stupidly cheap. If you want to do high-bandwidth video streaming, look at proper dedicated servers with proper connectivity. If you want to let your kids play Minecraft together on a secure "internal" server, slap a VM on an old desktop in your spare room and have done with it.

    It's not a question. You either need an external managed host and the benefits of that, or you don't. Now if you were talking about a business with SLA-guaranteed leased lines and lots of bandwidth to spare, asking the same question (in-house vs external), it's closer to an opinion piece where getting some stats can help and even then there's no "right answer" that will cover everyone so much as a summing up of individual circumstances. But you're not.

    If you want a VPS to run your website, email, spam filtering, act as an external VPN, secure your SVN repositories, proxy downloads for you, and a million and one other jobs? Buy it, find out. If you're at the point of running servers, £10 a month is low enough to test it out (and the place I'm with offer a £1 trial month) and see if it helps you.

    But this "article"? You recovered yourself a few months ago after the crap videos and junk you foisted on us until your returned to normal - this is just another step down on the graph, as far as I'm concerned, and it's getting close to crossing the x-axis again.

  15. Re:TCO fail by vlm · · Score: 3, Insightful

    I hope this guy is not anyone's CPA or handles and sort of financial analysis/projections at his work.

    The most likely indication that he is in financial management, is you figure out the aggregate total sum of his, PLUS all involved /.ers hourly rate, and the cost of debating this probably has at least 3 or 4 more zeros than the expense involved. Penny wise and pound foolish and all that.

    Everyone at work has had the experience of a two hour meeting with 15 devs at $100/hr to debate exactly how in painful detail the group will pay roughly $5/month for coffee, and whoever saves the most pennies (at a mere cost of $3000 labor) will get some kind of BS award on their annual review. Why if we save 30 cents a year, at a cost of $3000 we'll be rollin in the profits by 1st quarter 12013... of course a real NPV calc based on real rates would make it pretty hard to ever profit off an annual return of 30 cents on a 3000 dollar investment...

    The only thing the dude needs to do is:
    1) Is it possible? Yes, obviously
    2) Is its cost in line for a hobby expense? Yes, its cheaper than golf or watching cable TV or pretty much anything other than watching paint dry. Heck, even then you'd have to buy paint and paint ain't cheap.
    3) Is it fun? Well, its probably more fun to host at home, than pay an intermediary to do it for you. Much like its a hell of a lot more fun to cook than order delivery.

    So yeah .. just do it.

    --
    "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
  16. Re:Can you replace your whole system for that pric by vlm · · Score: 3, Interesting

    Other people could use that time for e.g. watching the TV, but is that really any more a valuable way of spending one's time?

    Also just because I make "skilled craftsman" type hourly rates (about as much per hour as a plumber) unlike a plumber I can only realistically get precisely 40 hrs per week. Not 39, not 41, but exactly 40 hrs at that rate.

    Yes hrs 1 thru 40 I get about plumber income per hour, but as soon as I hit that 41st hour at home, I would have to hunt for a job and in this economy blah blah and with the flexibility required for a second job, and only wanting to work precisely one hour not 20 every week etc, I think I'd be VERY lucky to cashier at quickie mart for $7.25/hr, if that is even possible.

    So unless you can actually do it, and you want to, don't assume the cost of a marginal extra hours labor is your regular pay rate. In other words the cost of an hours labor at $job during regular business hours is plumber-ish hourly rate, but at home after hours I cannot realistically earn more than a couple bucks per hour.

    --
    "Science flies us to the moon. Religion flies us into buildings." - Victor Stenger
  17. Re:Here's a benchmark by realityimpaired · · Score: 3, Insightful

    Having an 800W PSU in your server does not mean that the server draws 800W. Mine doesn't draw anywhere near that much. Admittedly, my server isn't doing minecraft or any game server, but it is running FTP/HTTP, and e-mail, and using server-side heuristic analysis on spam rather than RBL's, so the load on it is non-zero.

  18. ISP Terms of service by CptNerd · · Score: 3, Informative

    Someone needs to mod the parent up, this is important. Comcast's Internet service TOS states specifically that any server is a violation and they will cut you off if they find one, and pretty much any other non-business ISP will do the same. This is because they pay for packets going out of their network but get to charge for packets coming in, and so they throttle subscribers' outbound side while opening up the inbound side as much as technically possible.

    Putting a server on your computer on their network means that lots and lots of people will be pulling packets from your server onto the network, and the ISP will be paying for it, and they don't want to pay for it.

    --
    By the taping of my glasses, something geeky this way passes
    1. Re:ISP Terms of service by omnichad · · Score: 3, Insightful

      With all of the peering agreements they have set up, they really don't pay either direction most of the time. They fake a shortage of resources to keep costs high.

      With most ISP's, that term is in there only as a reason to terminate you when they want to. They don't usually port scan or actively try to find servers.

  19. Re:Can you replace your whole system for that pric by Bengie · · Score: 4, Insightful

    If the dad has to put time into this then you need to estimate what his time is worth - in particular the opportunity cost of him not being available to do other fatherly stuff.

    If he's doing much of his work with his son, then he's getting a good return on time spent.