Greetings. I seek advice from experienced individuals regarding a planned informational business website. The goal is to attract a minimum of 1000 daily visitors, with the potential to reach 10,000 or more within a month. The target audience is primarily in France and Germany.

We have considered colocation as an option, which entails purchasing a server (costing around $100) such as the HP Proliant DL360 Xeon with specs including 3.4Ghz processor, 4000Mb RAM, and 2x36400 Mb SCSI HDD. Hosting would carry an approximate monthly fee of $15. The total cost for the first month would be $1000 and subsequent months would cost only $15 for minor expenses.

My question is whether colocation is a viable option, and if so, whether the tariffs are reasonable. If not, what alternative server configuration and hosting plan would be suitable for the dedicated option?

My recommendation would be to begin with a dedicated server first.
This will allow you to evaluate the actual server resource requirements during the first few months of the project. After gaining experience, you can then proceed to purchase your own server accordingly.

An alternative and cheaper option than colocation is proximity hosting - accommodation in the data center of a communication company, directly connected to the data center of the exchange via a high-speed communication line.

Web development-wise, colocation has definite advantages over virtual hosting, but it also has drawbacks. Firstly, purchasing and maintaining equipment is required, although many providers offer server rental services. Secondly, a system administrator is necessary. However, providers often offer the services of their own system administrator who maintains the web server.

This administrator replaces, configures, and ensures optimal functioning of the server. The cost of such services is significantly lower than hiring one externally, but it still makes colocation more expensive compared to traditional and virtual hosting. This downside works in favor of colocation since it guarantees an improvement in quality.

There are other types of hosting to consider to help decide which is best. Dedicated hosting involves renting a server with ready software for your use. Colocation removes technical limitations associated with dedicated hosting. For experienced professionals, dedicated hosting is a good option as they can make all the necessary settings themselves.

Virtual dedicated hosting involves renting part of a server, but colocation offers more information security with no usage restrictions. Virtual hosting is the most popular hosting service, but it hosts up to 100 other sites besides yours. You will be limited in disk space, software use, and more. Colocation offers much higher connection speeds than virtual hosting.

Choosing a type of hosting depends on the resource you need. If it is just a business card site, then virtual hosting would suffice. Colocation would be the ideal option for those planning to start or expand an online store. Consider your financial capabilities and your own experience in creating and administering web sites when deciding.

VPS hosting is the best option for most projects I know of. However, I recommend reconsidering all the pros and cons of this service. As an alternative, you can choose a regular shared hosting or turn to a professional IT team for hosting setup and administration.