Well, they cost very little in comparison to the big cloud hosters and have great performance. Most startups nowadays can be hosted on a single big vertical machine just fine with perhaps another machine for a hot spare.

I think the much-heralded cloud elasticity for most startups only serves to please investors "we can scale if we blow up over night!".

Well, actually they made themselves a name for their quality products. And while everybody was busy minimizing their server usage in the advent of cloud computing, Hetzner worked on lowering the prices.

Therefore, they got an international reputation for delivering high quality for a cheap price.

This new offer looks very promising. I like the simple price model of 'pay per hour' + a fair 'maximum price per month'.

They're so much cheaper than the big cloud providers that I've made quite a lot of money migrating clients off AWS and Google Cloud to Hetzner when they start getting big invoices and want to cut costs.

It's not a conventional hoster in the sense of hosting WAMP/LAMP/MAMP, but enterprises (mainly from Europe) used their dedicated servers a lot for their stuff.

There is still a demand for dedicated servers, although it is becoming more and more niche, I think.