This is brilliant because the main cost of running gear is power draw (PDUs &#x2F; electrical circuits).  Having OEM&#x2F;ODM blade ARM setup a-la sgi cloudrack&#x2F;supermicro is the way to drive costs to the floor, in a Backblaze&#x2F;Google way.  Unfortunately, it&#x27;s a &quot;Dell&#x2F;Walmart model&quot; hypercommodity where such a business has to maintain massive customer subscriptions to stay cash positive and still just trickles in $.<p>It&#x27;s an interesting space, but if I were launching a cloud IaaS&#x2F;VPS, I would probably optimize for the other extreme of &quot;Apple model&quot; premium&#x2F;full-service expensive hosting that has fantastic uptime, gear and sales&#x2F;support for enterprise&#x2F;startup and IT&#x2F;web operations... There&#x27;s some more money in that and less headaches.  (The most money seems to be in the upper-middle pricepoint area.)