Rackspace customers grapple with “devastating” email hosting price hike

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Rackspace customers are facing a "devastating" price hike for its email hosting services, with some reseller partners seeing increases of up to 706 percent. The company's new pricing plan is set to come into effect on March 2026.

According to Laughing Squid, a web hosting service provider and Rackspace reseller, the company has announced it will charge $10 per mailbox per month for its standard email hosting plan, an increase of $7 from the current price. The company's Email Plus add-on will also be increased by $2 per mailbox, while the Archiving add-on will see a jump of $6 per mailbox.

Laughing Squid founder Scott Beale described the news as "devastating" and stated that the company received the notice just 30 days before the new pricing plan takes effect. This lack of notice is particularly concerning for reseller partners, who rely on Rackspace for their email hosting needs and will have limited time to find alternative providers.

Rackspace's new pricing plan has already been criticized by some reseller partners, with reports emerging of quotes ranging from 110 percent to nearly 500 percent increases. The company has attributed the price hike to a need to maintain "support levels our customers expect."

However, some experts see the move as an attempt by Rackspace to shift its focus away from email hosting and towards more lucrative services. With the rise of AI-driven RAM shortages affecting computing components, including storage, Rackspace may be looking to minimize its expenses.

As a result, reseller partners like Laughing Squid are re-evaluating their relationships with Rackspace and exploring alternative providers that offer lower prices. The company's decision to increase pricing without adequate notice is likely to have significant implications for the email hosting market, particularly among small businesses and resellers who rely on Rackspace for their email needs.
 
I'm not surprised to see Rackspace jacking up its prices like a teenager getting a new phone 💸📱. I mean, it's like they're trying to charge us per mailbox... what's next? 😂 Charging us by the byte? 🤣 Anyway, who needs that kind of stress in their email hosting life? I'm pretty sure my grandma could manage her email better than Rackspace right now 🙅‍♀️. I guess this is just another reason to shop around and find a new provider... or just use Gmail for everything, tbh 🤷‍♂️.
 
OMG, can you believe this? 🤯 Rackspace just announced a price hike of up to 706 percent for its email hosting services?! 💸 That's like doubling the cost overnight! I'm already seeing some of my online friends freaking out about it and wondering how they're gonna afford their own email hosting. 😩 The lack of notice is super concerning too, especially for those reseller partners who rely on Rackspace for their income. It's like, hello, 30 days' notice would be nice! 🙄 I'm keeping an eye on this one and will definitely be monitoring the market to see how it all plays out. The experts are saying it might be a strategic move by Rackspace to shift focus to more profitable services, but only time will tell if that's true. Fingers crossed for those small businesses and resellers affected by this price hike! 🤞
 
[Image of a shocked face with a lightbulb explosion in the background 🤯💡]

Rackspace's new pricing plan? More like Rack-n-Screw 'em 😂🤑. Some people are getting a 500% increase... that's just not sustainable for small businesses 💸😓.

[Image of a calculator with a red X marked through it 🔴✖️]

Maybe Rackspace is trying to shift focus to more lucrative services, but I think they'll just lose customers in the process 🤦‍♂️💔.

[Image of a business owner crying with a mailbox in the background 😭📨]
 
🤔 This new price hike from Rackspace is crazy! I was talking to a friend who runs a small business and they're really going to be affected by this. They have like 500+ employees and they all use Rackspace's email hosting service, so that 706% price increase is insane. 🤑

I think Rackspace needs to go back and re-evaluate their pricing strategy because it's just too steep for most small businesses. They're basically making it impossible for them to afford the service. And the fact that they didn't give enough notice is really unprofessional, you know? 😒

It's not just the price increase itself, but also the lack of transparency and communication from Rackspace. I think some people might see this as a way for them to shift focus away from email hosting, which could be a good move if they're struggling with costs or whatever, but for reseller partners like Laughing Squid it's just devastating. 😞
 
🚨💸 Ugh this new price hike by Rackspace is insane!!! 😱 I'm surprised they're doing this now when there's a global shortage of RAM 🤯. It seems like they want to cut costs and focus on more profitable services, but 706%?!? That's just ridiculous! 💔 Companies like Laughing Squid are already feeling the pain and having to re-evaluate their relationships with Rackspace 🤝. I'm sure we'll see a lot of reseller partners switching to alternative providers in the coming months 💻. It's gonna be interesting to see how this plays out in the email hosting market 📈.
 
Ugh, this is a major problem 🤦‍♂️. I'm not surprised though, companies like Rackspace are always looking for ways to make more cash 💸. 706% increase is insane! 😱 What's next? How much is going to be the price of air or something? 💨 Small businesses and resellers are gonna get smashed 🤯. It's like they're getting crushed under a giant boot 👣. The lack of notice is super shady too 🙅‍♂️, it's like Rackspace just decided to raise prices without even asking anyone if it was okay 😒. Companies need to think about the people who rely on them for their services 💔. This could lead to some major changes in the email hosting market 🔄...
 
omg u wont believe what's going on with rackspace 🤯 they're literally killing it with these price hikes!!! i mean idk how much more r they gonna charge but its like 706% thats wild lololol some resellers are getting crushed 😂 anyway i think this is just an excuse for them to switch to bigger money-making services rn maybe they dont wanna be tied down to email hosting anymore 🤑
 
I'm so worried about Laughing Squid and all those reseller partners... 706 percent is insane! 😱 They're basically getting robbed blind. I mean, can you imagine if your favorite coffee shop just raised its prices that much overnight? The lack of notice is pretty shady too, like they knew people were gonna freak out. 🤬 It's not like it's a normal business decision, where you give them advance warning so they can prepare. This feels more like a cash grab. 💸
 
🚨 This price hike is a clear example of how big companies can take advantage of smaller players in the industry. Rackspace is essentially holding its reseller partners hostage with no notice period, forcing them to scramble to find alternative providers. It's like they're playing a game of supply and demand, where they're artificially limiting their own customers' options.

The fact that some resellers are seeing price increases as high as 500% shows just how ruthless this move can be. And let's not forget the environmental impact of Rackspace shifting its focus towards more lucrative services - it's a classic case of corporate greed taking precedence over sustainability. 💸
 
🚨 I've heard from some friends in the web hosting scene that Rackspace is about to hit its customers with a price hike that's just brutal 🤑. Like, up to 706%?! 😱 That's insane! And the worst part is they didn't even give their reseller partners any heads up 🤐. I'm not surprised tho, these big corps are always looking for ways to squeeze more cash outta people 💸. Some folks think it's a clever move to shift focus away from email hosting and onto more profitable areas... AI-powered storage and whatnot 🤖. Whatever the reason, one thing's for sure: this price hike is gonna affect small businesses and resellers hard 💔. They're already scrambling to find alternative providers that won't break the bank 💸.
 
OMG, like a week ago this thread went live 😂... I just read about Rackspace's crazy price hike and I'm shocked. $10 per mailbox? That's insane! 🤯 And 706% is wild. I get it, they want to maintain support levels, but who expects such a drastic change without even 30 days notice? 🙄 It's like they're asking reseller partners to just magically adapt. Not cool, Rackspace. 😒
 
😒 oh great, just what we all needed - another excuse for Rackspace to bleed its customers dry 🤑. 706% price hike? that's like trying to squeeze blood from a turnip 💉. I can already see the threads on Reddit blowing up with resellers and small businesses crying about it 😭. And yeah, maybe they'll just shift their focus away from email hosting and towards something more profitable 🤔... or maybe Rackspace is just really bad at math 📝. Either way, this is gonna be a wild ride for anyone who relies on them for their email needs 🚀.
 
🤕 u guys can imagine how stressful it'll be 4 those racker partners 🤯 like laughing squid whos got 30 days to find new hosts 😱 its not just about the $$$ tho, its about the impact 2 small biz & resellers who rely on rackspace 4 their email hosting needs 💔 im hopin they dont get left high & dry 💥
 
omg u gotta be kiddin me 🤯 racking up a whoppin 706 percent price hike? that's straight outta nightmare mode 😱 what kind of company does that to its customers? i think racking space is just tryna get rich quick by shiftin focus to more profitable stuff 👀 maybe the ai-driven ram shortage thingy is just an excuse 🤔 either way, this is gonna be a huge problem for small businesses & resellers who are already runnin it tight 💸 they needa find new providers stat 🚨
 
🚨 I mean come on, 706 percent?! That's just ridiculous! 😱 They're basically making it impossible for these reseller partners to stay in business. I get that they need to make some changes, but a price hike of that magnitude is just gonna drive customers away and hurt the entire market. What's next? 🤑 Are they gonna raise their prices on everything else too?! It's just not fair to the people who've been relying on them for years. They should've given these reseller partners more notice or at least offered some kind of support during this transition. 😡
 
💸 Ugh, just great, another reason for small businesses to shell out more cash 🤑. I mean, who doesn't love a good price hike at the last minute? 🤯 It's not like they had 6 months to prepare for the changes or anything... March 2026 can't come soon enough, right? ⏰
 
🤔 this is a classic case of a big corp trying to squeeze more cash outta its customers when they're already feeling the pinch from AI-driven tech inflation 💸. I mean, $10 per mailbox per month is a bit steep even for a top-tier service like Rackspace 📈. And what's with the 30-day notice period? That's just enough time to scramble and find another provider 🕰️. It's not exactly the most business-friendly move, if you ask me 😐. I think this is gonna make resellers rethink their partnerships with Rackspace and explore more affordable options 👥. The email hosting market is already competitive, and we need more players, not just big corps trying to milk their customers dry 💰.
 
Ugh man... 🤕 I just can't even believe this news 😩. Rackspace, one of those companies that's supposed to be all about supporting your emails and stuff... now they're jacking up the prices like a real heartless corporate beast 💸. 706 percent? Are you kidding me? That's just ridiculous 🤯.

I mean I get it, businesses gotta make money right? But can't they at least give their customers some warning or something? It's not like this is a surprise to anyone... they should've known that the prices were gonna go up if they didn't already 💡.

And now these reseller partners are stuck in the middle, having to deal with all this drama and finding new providers on short notice 🤯. It's just not cool, you know? I feel bad for them, especially since it's not like Rackspace was exactly known for being super flexible or understanding 😔.

But at the same time... maybe this is a wake-up call for Rackspace to get their priorities straight and find new ways to make money that don't involve screwing over their customers 💸. I hope so, anyway 🤞.
 
omg 😱 thats so harsh!! i was really loving rackspace's services but this price hike is like woah 706 percent?! that's crazyTalk about no notice though 🤔 can you even imagine not knowing till like 30 days before the change? 🙅‍♀️ i feel bad for laughing squid and all the reseller partners who rely on them... they'll have to find new providers ASAP 💻
 
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