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I think you're making a lot of assumptions about how a service like their could work and does work. You don't need to write a lot of code to leverage VPS's or scale them, and you don't always need to scale up or down on an hourly basis.

I'll bet you that if they took the historical metrics of their services and their load use and averaged it, buying one or two boxes would easily break even and at the same time not be dependent on a specialized provider or functionality like an auto-scaling VPS.

But that's just a guess.

We actually went that route with historical data and it wasn't any good to be honest. Work patterns change daily, so we really need the auto scaling.

Working with Historical data means you either totally oversubscribe certain days, or totally underdo it. It has to be automated due to the latest load.

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