Setting up a server at home vs. renting a dedicated server

Question

Which one is more profitable. Buying a server and hosting a website at home or renting a dedicated server from a hosting company ? I have fairly large number of users that are growing. I currently use a VPS but it is not going to work well in a couple of months since many users are joining and using my service. I was wondering if I should go ahead and buy a server and host it at home, or just get a decent dedicated server and call it a day.

I appreciate it if anyone can explains the pros and cons of both and help me choose one.

Answer 1

Okay, hosting at home:

• Cheaper, compared to renting a VPS.
• You will have a slower upload than a server in a datacenter.
• No redundancy if your internet dies
• No redundancy if your power dies.
• Noise and power bill for running a server at home.
• You will likely have a dynamic IP, meaning the IP of your server will change over time
• Depends on what router you have, but it's possible your router or home infrastructure won't handle a large number of connections.

Hosting in a datacenter:

• Will cost more
• Don't have to worry about hardware failure
• Don't have to worry about power failures
• Don't have to worry about internet connectivity
• More manageable, less pressure on you. Server can be "managed" by the provider, meaning all your have to do is run the site.
• Faster speeds. 100x-1000x likely faster.
• Static IP likely provided as part of the hosting deal.
• Enterprise gear
• Guaranteed uptime (well, they should do...)

So, if you have a fiber connection at home, have a basement you can put a server in, and are willing to pay for the power, you can always see if your provider has a limit on their unlimited packages.