What do you want to achieve by making such a post? Overselling is a common tool used in the industry today.
True, but the question is how far hosts and resellers take the overselling?
To a certain degree, overselling helps maintain balance and profitability for
the host but it can also be the means to the hosts own destruction as well.
Given that most clients typically use less than half of the resources allocated
to them, there is a tremendous amount of wasted resourced that increases
operating costs for the host if they don't utilize some overselling.
Taken too far though, overselling results in false plan details for customers,
overloaded servers, slow speeds, and serious reliability problems.
The place that every host has to find is that medium point where you
oversell resources enough that you can still meet all of your client needs
while still maintaining profitable and not backing yourself into some corner
where you suddenly find that you cannot upgrade to meet current and
future customer resource usage.
I have been in the hosting business for over a decade and in that time,
I have seen more than a few hosts fail because they extended overselling
too far and totally ruined themselves finding they didn't have resource
and couldn't upgrade to meet demand and just fold! Common story!
Unfortunately, the overselling hosts look more appealing to many otherwise
ignorant customers who think they are finding a really good deal. Why
would the average person buy a host providing 1 GB hosting when they can
get a host with UNLIMITED space for the same price?
This is the big problem!
This puts a heck of a lot of pressure on (and is quite unfair) to all the
legitimate hosts out there who do try to guarantee customer web space
and try to keep balance on their resources to keep their services stable
and able to readily meet customer demand.
I personally would prefer a 300 MB account from a host where my
web space is guaranteed and not overselling to another host
overselling me 10,000 MB of space for the same price but unfortunately
the average non-technical customer out there doesn't realize that.
Maybe it's time more is done by all of us to educate the general public?