Will Hosting Become Cheaper Over the Next Two Years?

According to Christina Torode, a senior writer at Tech Target, the price of hosting will decrease over the next two years. Due to increased competition, reduced costs, and new technology like cloud computing, she predicts a 20% decrease.

This price drop mainly applies to application hosting, but could hit the general web hosting realm as well.

“The rising number of solutions will challenge especially the [application hosting] providers, which do not offer a utility alternative yet. This will in general drive down pricing,” said Gartner researcher Frank Ridder.

Most notably, cloud computing is mentioned as one of the main reasons why costs will go down, in addition to outsourcing and SaaS (Software as a Service), a hosting method where resources to run software are provided on-demand.

The web host industry has seen a huge price drop over the last ten years due to increased competition. As more and more providers enter the scene with better and better technology, it’s only natural to expect a decrease in charges. Will it be as great as 20%? Maybe yes, maybe no.