So buy $3Million worth of miners with a ~10 month ROI, only to have your host boot you after your 12-month contract.... that could hurt.
Would be interesting if someplace would host a mini-container, something with a max of 200kw or so.
SETUP YOUR OWN be more expensive but can avoid 1 year BOOT. OR co-exist with your host with higher fees so the host be profitable to keep you.
Being a small player has something to do with it, BUT being seen as unprofitable customer (none sustainable business) may be more likely. If it is a profitable or sustainable cost paying customer, host will probably love you with even 1 unit hosting.
Invest proper cost into your host. Be reasonable with the host for uptime and maintenance performance. Many host seem to be rejecting S17 and T17 who are paying lower hosting fee while these miners required high maintenance and support requests and frequent monthly bill adjustment due to some offline times and maintenance time needed. If host knows you are PAIN IN THE BUTT customer with essentially no gain or possibly the net loss, those customers be the first to go if someone else offer more profitable propositions. Coindesk.com article said it cost publicly traded company to build the mining data center is about $1,000,000 to $1,500,000 per Mega Watt in Texas.
If use the newest S19 as example, it is about 3000W each. Usable 1Mega Watt can service about 330 units of S19. If use 80% load math, about 270 units per $1,000,000 to $1,500,000. This means if hosting customer does not bring $3,030 to $5,555 profit margin, Those newly built data centers probably has 0 interest to offer hosting to us if we have zero intention to pay off that cost in the next few years with long term contract or start with higher hosting fee.
I am sure, there are much cheaper data center host all over the place with less than perfect performance and conditions but it will work with 80% uptime which be acceptable for mining performance. Cost for those data center may be 50% 75% cheaper but the stability may be the trade off.
Special mining container for sale seems to go in the range of $100,000 to $250,000 with about 300-400 units of S19 capacity. This cost seem not include the electrical infrastructure outside, Electrical transformer to service this may cost $50,000 to $100,000 to include the electrician and material and permit expenses. This means if any lucky hosting company out there that gets free transformer (If small family owned hosting shop may be BUT as industrial size operation, NOT REALISTIC)
Current Covid crisis, the salary seem to be not cheap now days. Owner wants his pay, company needs administrative staffs as well as customer support and technical staffs. That is additional expense on top of the base electricity cost the hosting company has to pay with rent or mortgage of the business location. I speculate, many small size hosting facility who built 5-10 Megawatt size facilities did not have realistic business projection with real operational cost. They are now slowly realizing what the real cost would be as push to expand their facility further. Now days hyper inflation with everything to include the building material cost is getting so expensive, too.
best option be to search for land or building that has enough electricity you need to setup your own container, or find host who will agree longer term service contract with higher monthly fee to be win-win condition.
quick search shows many host offering immediate hosting option from $0.08/kwh but has minimum sign up quantity restriction of 10 units or more. With current bitcoin price and data center demand, $0.1/kwh even seem reasonable, compare to residential or commercial electricity price and warehouse rent to pay if plan to operate less than 1 Mega Watt. Best $5,000 - $10,000 rent with 1000 amp old ice-cream parlor or old rural agricultural site to find near you.
Best solution be set up your mining on your own land it seems or find a host who offers long term stability but to expect higher signup cost or higher monthly fee to avoid early termination or none renewal pain. If you sign up $0.07/kwh hosting now, higher probability of BOOT at the end of the initial contract term or earliest contract termination date. Miner wants ability to cancel hosting contract as short term as possible = you take risk of BOOT when market heats up.
what puzzle me is a guy who spend $100,000 to buy miners from someone on telegram chatroom instead from the store with the brick building. You expect the miner to be usable for 3-4 years or possibly more but only sign up for cheaper short term cancelable contract. When you rent a store space or your office space, you sign up for 3-10 years lease with the landlord. Why NOT with your expensive mining business enterprise does not do the same?
Cheaper shorter term contract is similar to 1-year ARM home mortgage loan that you know you have to refinance shortly after the 1-Year ARM term ends or your monthly payment is so painful until you refinance.
Quick google search shows many hosting options but many seem to be reselling larger hosting companies' space with markup, too. I see $0.089/kwh with 10 units minimum. This means, when the distributor price becomes none profitable or distributor demand unreasonable service from the big host, the distributors to be experience the BOOT. Always GO direct with the HOST to lower the risk be 2cents
Many delays are from cost savings. Many difficulties setting up the data center comes from attempt to save cost via engineering, also. Hence, more delay.
Big questions to who are facing possible BOOT. Refused or Decline to pay extra $25-50 usd monthly hosting fee when you are earning $500-$800 usd per month worth it?
