Commodity virtualized server with 4 cores and 8GB of RAM, storage is on NAS. We have hundreds of these typical SQL instances.
db has lot of rows, around 20k rows logged per minute and the events are logged 24/7 three years.
Again, because the schema is well designed, I use clustered index on Date to filter and analyze and the engine actually never reads the whole db all the time. It actually read only the pages I need, and that's the benefit from millions of man-hours MSFT invested in optimizing its SQL engine.
typical response time depends on date period, I try to write queries that dont take more than a 5-10 secs to run.
if you have RDBMS performance problems - just hire an expensive DBA for a brief period and learn-learn-learn from her how to work with large data effectively. DBAs can optimize your db to run as fast as a your hardware I/O speed.