Hetzner has raised prices across its virtual server portfolio for the second time in 2026, and the scale of the increases has caught the hosting community off guard. Some plans in the US jumped by more than 190%, with the cheapest two-core VPS option climbing from around $7 to $20.49 per month. At the higher end, the CCX63 server with 48 dedicated cores and 192GB of RAM went from $460.49 to $1,014.49 monthly.
The company announced the changes on May 27 but could not publish specific figures at the time, citing unpredictable component prices and severely limited hardware availability. Hetzner pointed to RAM, SSD, and GPU costs as the primary drivers, all components that have seen significant price pressure as AI infrastructure buildouts consume supply that would otherwise feed the broader server market.
Reactions on Hacker News and other communities were blunt. One user described the jump as an “absolute massive” increase and questioned what could justify a threefold rise. Another, in a lighter moment, noted that their existing Hetzner servers had become “appreciating assets,” a reference to the fact that current customers keep their pricing under existing contract terms. The price changes only affect new orders, which means anyone already renting a server retains their previous rate.
Hetzner founder and CEO Martin Hetzner addressed the situation directly in comments that circulated online. He described the company’s pricing strategy as unchanged in its fundamentals, noting that depreciation periods and profit margins have held constant for years and will continue to do so. He also acknowledged that Hetzner absorbed cost increases for roughly nine months before adjusting prices, which explains why the eventual changes landed as sharply as they did.
The wider market context makes the increases less surprising, even if the size of them still stings. OVHcloud made comparable announcements earlier this year, with the company noting that cloud providers now need to place orders up to twelve months in advance, often without knowing the final price at the time of purchase.
Hetzner expressed confidence that its relative market position would hold despite the new pricing, arguing that competitors face the same underlying hardware conditions and that the company’s price-to-performance ratio remains competitive within the new structure.
