To our valued customers

We are posting this notification to inform you that cPanel is changing their pricing structure, effective September 1, 2019. This change is not only an increase in price but also a change in how their license fees are calculated.

Beginning September 1, 2019, cPanel licenses will still charge a base fee for their licenses, with different pricing for physical and virtual servers. In addition, they are now charging based on usage. The base licenses will cover a set number of cPanel accounts and going over that number will incur a per-account charge.

We understand this is a significant price increase, especially to those with a large number of cPanel accounts. Our relationship with cPanel gives us access to discounted pricing, which will hopefully help to dull the impact of this change. We intend to forward our costs for these licenses to you with no markup by GigeNET, as we have always done. Most licenses do not exceed the base number of accounts, but those that do will incur an overage charge at the end of the month, but the exact method to bill for these overages is still to be determined.

A summary of the pricing changes can be found below.

 

 # of Accounts Current Price

(Unlimited Accounts) 

Up to 5  Up to 30  Up to 100  Over 100
Virtual Machine  $11.00  $12.50 $17.50 $32.00 + $0.10 per Account
Physical Server  $25.00 N/A N/A $32.00 + $0.10 per Account


Under the new pricing, a virtual machine license with 7 accounts would increase in price from $11.00 per month to $17.50 per month. This is because the account usage is more than 5, but less than 30.

The same usage on a physical server would change the price from $25.00 per month to $32.00 per month. This is because there are no pricing tiers with fewer than 100 accounts available to Physical Servers.

A physical server using 107 accounts would change from $25.00 per month to $32.70 per month. The base price of $32.00 covers the first 100 accounts, and the additional 7 accounts add $0.70.

We are still determining the logistics of billing for cPanel licenses under the new pricing structure but wanted to make sure we communicated this upcoming change as soon as possible. Please bear in mind that this change is originating with cPanel and that it is being extended to all of their license holders and resellers.

We will personally follow up with any clients that are about to exceed the base account limit. In addition, this change may force some to look into other options, and our team is ready to assist. Please reach out to your GigeNET account manager at (800) 561-2656 (option 1) if you have any questions or concerns.

Regards,

GigeNET Management