Contabo's True Cost: Setup Fees, Throttled Disks, and the Price Hikes Nobody Warned You About

By Marcus Tran · Updated 2026 · tracking the low-end market since 2018

Affiliate disclosure: the Contabo link below is an affiliate link. The benchmark data and pricing analysis are sourced from VPSBenchmarks.com, LowEndTalk, and Contabo's own documentation.

Contabo sells a 4 vCPU, 8 GB RAM VPS for EUR 5.50 per month. At that price it looks like the cheapest serious VPS on the market. Then you discover the SSD line delivers 1,300 IOPS (less than a spinning hard drive), the port speed is 200 Mbit/s (when competitors offer 1 Gbps+), prices have been raised 15-21% on existing customers twice in two years, and the performance you actually get depends on which physical node you land on. The headline price is real. The performance behind it is a different story.

Short answer: Contabo is cheap per GB of RAM. It is not cheap per IOPS, per Mbit/s, or per unit of consistent performance. Hetzner's CX33 at EUR 8.49/month delivers 4x the disk speed and 5x the network speed for EUR 2.99 more. The math changes if your workload is RAM-heavy and IOPS-light. But most people buying Contabo think they are getting a full-performance VPS at a discount, and they are not.

The disk throttling problem

Contabo's SSD line delivers approximately 1,300 4K random read IOPS. For context, a bare-metal consumer SATA SSD delivers 10,000-50,000 IOPS. A Hetzner CX23 at EUR 5.49/month delivers 23,700 IOPS. Contabo's SSD performance is closer to a mechanical hard drive than to the SSD the plan name implies.

VPSBenchmarks measured the VPS S SSD at 1,325 read / 1,330 write IOPS (4K random) in September 2024. This is not a bad sample or an unlucky node. It is a consistent measurement across multiple test dates.

The NVMe line is faster, but the numbers are suspiciously consistent. Multiple plans across multiple test dates cluster at exactly ~5,828 IOPS (4K random). That number does not move. Different plans, different dates, same IOPS. You do not see this in natural storage behavior. You see it when someone typed a number into a config file:

Plan4K Read IOPSStorageTest date
VPS S NVMe5,826NVMeJul 2024
VPS 1 NVMe5,828NVMeDec 2024
VPS 2 NVMe5,828NVMeSep 2024
VPS 5 NVMe5,776NVMeNov 2024
Cloud VPS 4 NVMe (new)20,733NVMeJul 2025
Hetzner CX2323,700NVMeMar 2025

Two findings stand out. First, the new Cloud VPS lineup (mid-2025 onward) shows dramatically improved IOPS at ~20,700, suggesting Contabo lifted the cap for new plans. If you are on an older plan, you may be stuck with the throttled performance. Second, LowEndTalk users have reported requesting IOPS limit removal via support ticket, confirming the throttle is deliberately applied and can be adjusted.

Source: VPSBenchmarks.com fio measurements across all listed Contabo trials.

200 Mbit/s in a gigabit world

Contabo's Cloud VPS 4 ships with a 200 Mbit/s port. The Cloud VPS 20 gets 300 Mbit/s. You need the Cloud VPS 50 or higher to reach 1 Gbps. Every competitor at a similar price point offers more:

ProviderEntry plan pricePort speed
Contabo Cloud VPS 4EUR 5.50/mo200 Mbit/s
Hetzner CX23EUR 5.49/mo1 Gbps+ (tested at 10.97 Gbps to Amsterdam)
DigitalOcean Basic$4/mo1,000+ Mbit/s
Vultr Cloud Compute$2.50/mo3,000+ Mbit/s
RackNerd~$11/year1,000 Mbit/s

The "unlimited" bandwidth comes with a footnote too. Contabo's traffic rules allow 32 TB outgoing per month (10 TB for Australia/Japan). If you sustain full port speed for more than 50% of a 10-day period and exceed 17 TB in those 10 days, the port is throttled to 100 Mbit/s. No overage charges, but the throttling makes the service degraded for the rest of the billing cycle.

Price hikes on existing customers

In October 2022, Contabo announced price increases that they described as "approximately 9.1% on average." The actual per-plan increases told a different story:

PlanBeforeAfterActual increase
VPS S$6.99$8.49+21.5%
VPS M$11.99$13.99+16.7%
VPS L$19.99$22.99+15.0%
VPS XL$34.99$40.49+15.7%
Object Storagevariousvarious+33%

A second increase followed in approximately April 2023, documented by HostingRevelations as "the second price increment from Contabo within the last two years."

The legal mechanism is explicit. Contabo's Terms and Conditions, Clause 4(9), state: "The provider may adjust the prices at any time in line with market developments." Your consent is "considered granted" if you do not exercise your special termination right within the notification period. In other words, Contabo can raise your price and your continued payment is interpreted as agreement.

Price increases are not unique to Contabo. Hetzner raised prices 30-37% in April 2026. The difference is how they communicated it. Hetzner stated the exact percentages upfront. Contabo sent an email saying "approximately 9.1%." Users on LowEndTalk pulled out calculators within hours and the cheapest plan was actually up 21.5%. The thread hit 200 replies in two days. Nobody was angry about a price increase on a EUR 5 VPS. They were angry about being told 9% when the answer was 21%.

The node lottery

Contabo's performance depends on which physical server you land on. VPSBenchmarks' 24-hour endurance test (June 2024) measured a CPU steal average of 3.41% with a 5.98% peak. That is within acceptable range for a shared VPS.

Community reports paint a less consistent picture. LowEndTalk threads document steal reaching 70-80% on bad nodes. Another user reported steal averaging 40% sustained. A third thread warns of problems becoming "unbearable since mid-2024."

The VPSBenchmarks grades make the tier split visible:

PlanPerformance stabilityWeb performanceConsistency score
Cloud VPS 4F (2.3/20)F (3.0/20)53
Cloud VPS 20F (2.3/20)F (2.9/20)53
Cloud VPS 30B (15.4/20)B (16.4/20)Higher
Hetzner (average)Varies by planVaries by plan71

The VPS 10 and 20, the plans most people buy, score F across the board. The VPS 30 and above score B. This is the most important thing to know about Contabo and the thing that almost nobody talks about on LowEndTalk: the provider is two different products sold under one brand. If you need consistent performance, the entry-level plans are not where you find it.

Contabo will migrate you to a less-loaded node via support ticket. Post-migration performance typically improves, but community reports indicate the improvement can be temporary, with steal creeping back within weeks as the new node fills up.

Setup fees and billing traps

Contabo's billing model is built around commitment. Monthly billing incurs a one-time setup fee on the Cloud VPS 4 (approximately EUR 5-6 based on checkout reports; the help article confirms the policy). Commit for 3+ months and the fee disappears. But there is no hourly billing. Hetzner, DigitalOcean, and Vultr let you spin up a server for 3 hours and pay cents. On Contabo, testing whether the performance meets your needs costs a full month.

The auto-renewal window is where Contabo's billing gets aggressive. Miss the cancellation deadline and you have 72 hours after auto-renewal to request a refund, with an "additional administration fee" that Contabo does not specify in advance. After 72 hours, the charge is final. LowEndTalk has multiple threads from users who forgot to cancel a test VPS and got billed for another month with no recourse.

Then the nickel-and-dime layer: additional IPv4 at EUR 2-3.49/month (Hetzner charges EUR 0.50), limited to 1 extra per VPS. Backups are a paid add-on starting at EUR 1.15/month, and snapshots are local only, not offsite. Hetzner includes snapshots in the base price. None of these costs individually breaks the value proposition, but they add up on a service that markets itself on having the lowest headline price.

EUR-by-EUR comparison with Hetzner

The comparison that matters most for budget VPS buyers: Contabo's cheapest against Hetzner's equivalent.

Contabo Cloud VPS 4Hetzner CX33
Monthly priceEUR 5.50EUR 8.49
vCPU4 (shared)4 (shared)
RAM8 GB8 GB
Storage100 GB SSD80 GB NVMe
Port speed200 Mbit/s1 Gbps+ (tested 10.97 Gbps)
4K random IOPS~5,800 (old NVMe) / ~20,700 (new)23,700
Consistency score5371
Hourly billingNoYes
Setup fee (monthly)~EUR 5-6EUR 0
Price increase historyTwice in 2 years (15-21%)Twice in 2026 (April and June)

The EUR 2.99/month difference (EUR 35.88/year) buys you 4x the disk speed, 5x+ the network speed, higher consistency, hourly billing, and no setup fee. Per IOPS, Hetzner costs EUR 0.00036 per IOPS per month. Contabo (old NVMe) costs EUR 0.00095. Per Mbit/s, Hetzner costs ~EUR 0.0085 per Mbit/s. Contabo costs EUR 0.028. On a per-performance basis, Contabo is the more expensive option.

The only metric where Contabo wins: RAM per EUR. At EUR 0.55/GB/month, nothing else comes close. Hetzner's equivalent is EUR 0.85/GB. If your workload is "lots of RAM, not much disk or network," Contabo's pricing holds up.

When Contabo is actually worth it

Contabo is not universally bad. It is specifically bad at the things most people assume it would be good at (fast disk, fast network, consistent CPU), and specifically good at things that a smaller audience needs:

The bottom line: Contabo is a RAM-and-storage play, not a performance play. The headline price is the price of sharing resources aggressively. If you know that going in and your workload matches, it is real value. If you expect a $5 VPS that performs like a $15 VPS, you will spend your time filing support tickets for node migrations.

FAQ

Is Contabo actually cheaper than Hetzner?

Per EUR spent on performance, no. Contabo's Cloud VPS 4 costs EUR 5.50/month for 5,800 IOPS and 200 Mbit/s. Hetzner's CX33 costs EUR 8.49 for 23,700 IOPS and 1 Gbps+. Hetzner delivers 4x the disk speed and 5x the network speed for EUR 2.99 more. Contabo wins only on RAM per EUR: EUR 0.55/GB versus Hetzner's EUR 0.85/GB.

Did Contabo raise prices on existing customers?

Yes, twice. In October 2022, the VPS S went from $6.99 to $8.49 (21.5% increase) despite Contabo advertising the average increase as 9.1%. A second increase followed in approximately April 2023. Their Terms and Conditions allow price adjustments "at any time in line with market developments."

Why is Contabo's disk so slow?

IOPS throttling. The SSD line delivers ~1,300 4K random IOPS. The NVMe line clusters at exactly ~5,828 IOPS across multiple plans and dates, indicating a hard cap. The new Cloud VPS lineup (mid-2025+) shows ~20,700 IOPS, suggesting the cap was lifted for new plans. Users on older plans can reportedly request limit removal via support ticket.

When is Contabo actually worth it?

Three cases: cold storage and backups (IOPS does not matter), RAM-heavy applications where the working set fits in memory, and Contabo's Object Storage (EUR 2.49/month for 250 GB, S3-compatible, no egress fees). The VPS 30+ plans also test dramatically better than VPS 10/20. Avoid the entry-level plans for workloads that need consistent disk or CPU performance.