Oh boy, oh boy, oh boy. This again. Oh have I missed this endless debate.
I have nothing to say on the subject this time around, due to how the last debate ended. I hate being compared to a thief or a liar, all because I offer services people refuse to properly or fully understand.
Still, I feel like I need to have a say in this. So, here goes nothing...
Unlimited is not a scam, just a misunderstood term. Does it provide infinite hard drive space? No. If anything, it's the slow mans way of referring to unmetered. Unmetered hosting does in fact exist, and that is exactly what unlimited is. There are no predetermined limitations. The quotas are removed, and without a quota to limit you, the plan is unlimited. That's really all it is referring to. The removal of a quota, not of the hardware or system resources, just the lack of a software based quota that restricts you to x when the server itself is capable of providing xyz.
Also, before anybody makes any kind of accusations against me, or claiming me to be a part of a pro-unlimited crowd. I am in no way with or against unlimited hosting, as most providers do in fact use it as nothing more than a shady marketing trick. When a provider claims to offer unlimited hosting, the first thing anyone should do is read the terms of service. If they enforce inodes or CPU restrictions, request the server information and current server usage. If you find that your website will easily fit within the enforced hardware limits, go ahead and order a plan. Chances are, you won't run into any problems, and will pay a lower rate than the quota-based providers for an equivalent service.
Some unlimited providers have different restrictions in place, while others dont have any, and will actually upgrade you to a full powered server, if you ever required one.
The point is, every provider is different. They all have different strategies, and they all have different ways to market to different people.
Also, it seems to be a common misconception that unlimited = unreliable, or oversold.
While this can be true, it isn't the hosting package that causes the unreliability, but rather the unprofessionally managed hosting network. Scummy providers exist. There's no denying that. However, they exist in all fields, not just web hosting. It is the providers responsibility to maintain their network. If the provider sells hosting with no software quotas, and then fails to maintain the network, chances are, that provider would have failed no matter what it did, quota or no quota. It simply wasn't meant to be, and was unprofessionally operated.
I know my explanation of unlimited and quota based hosting is unlikely to be accepted by 95% of the members on here. However, I figured I'd give it another try, as some of you just don't seem to get it.