5 Companies That Came To Win

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Rackspace CTO Calls Out Amazon Over Dedicated Instances Claim

Hosting service provider Rackspace went on the competitive offensive this week when company CTO John Engates said rival Amazon Web Services was inflating the value of discounts on its EC2 instances announced earlier this month.

Engates said in a blog that even though AWS chopped prices on EC2 instances by as much as 80 percent earlier this month, they still cost more on a total-cost-for-performance basis than do true dedicated servers, like the ones Rackspace offers.

Rackspace, Engates said, is more focused on support and performance than it is on offering the lowest unit prices. Rackspace's cloud offering delivers more value for the dollar to customers when these factors are taken into account, he said.


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