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Hetzner dramatically increased prices for new and rescaled instances starting 15th of June, 2026; 8 AM CEST.

For orders placed before 15 June 2026, but delivered after 15 June 2026, the previous prices will apply.

Anyone know why? Some of the tiers more than doubled in price, that's pretty insane.
Was this announced beforehand? How do you double prices for customers so abruptly with no transition period?
because it's for new customers.
Wow this is a brutal price increase for a lot of plans, at least it appears old user instance prices are grandfathered unless you rescale them.
It's been a struggle to allocate cost-optimized VPS at them for months now (in some regions), they were very often out-of-stock.
They are also becoming greedy. I rent their 20GB VRAM instance GEX44, for which they now ask a 500 euro one-time setup fee. Whereas it was something like 60 euros a year ago.
This is just the reality of hardware costs now. RAM and Disk are scarce, prices have skyrocketed.

I wonder how much leverage the hyperscalers like AWS/GCP/Azure have on their own supply chain to keep costs level in their clouds.

Microsoft can't supply sufficient compute capacity to itself; they're in the news today for considering AWS for capacity.
This is such disappointing news. I was planning on migrating some of our workloads to hetzner specifically to take advantage of the AX162 pricing which was incredibly competitive.

Does anyone else have any suggestions for competitive pricing for this kind of thing (e.g. batch jobs)? Was this applied retrospectively to existing customers?

Correct me if I am wrong, but AI made software development and operations more expensive than before. Yes, it is faster too, but the question: is it worth the price? Can the users consume new features in that pace?
If you personally need it there is still time to get cheaper ones off auction:

https://www.hetzner.com/sb/#ram_from=256

Yeah mostly old CPUs, but considering RAM shortages gonna be much cheaper than colocation.

PS: link contains 256GB RAM filter since I guess OP need RAM.

Seems like it doesn't apply to older machines, I have AX41-NVMe, it's not on the list, I also didn't get any notification from them (and they usually send some) - no need to panic if you're longterm customer.
Also running an AX41-NVMe for 6 years now. I cannot remember, but they do replace defective parts, right?
First two sentences. Only new plans are affected. Hold onto your servers as long as you can.
I've only been using this a lot for a few months now. I'm sorry to see this.
I was signing up for Hetzner years ago and it asked me to upload my passport to use their service.

At that same time, I was reading about this story about WireCard. It was like Stripe for Europe and worth billions. Turns out it was run by a Russian spy network and was all a sham. That video alleged Germany’s bureaucracy is filled with Russian agents and this can be traced back to the East/West Berlin days.

To save a few bucks a month over DO didn’t seem worth it to me to send my passport to a foreign country.

It really is an absolute massive jump. Have no clue what's going on in the back to warrant a 3x increase... 25-50%, sure.. but 3x is wild.
ARM instances (CAX) are all consistently at 30%.
It seems to be 2-tier pricing. You can pay 4x for guaranteed delivery... they may have excess capacity at some point (-LTD SKUs) and then you can pay 1.1x while stocks last.
I see that (new) EX44 servers are now 50% more expensive than before, ouch. Although there's none available anyway.
This continuing trend is going to do a fantastic job of ensuring fewer and fewer individuals can launch casual projects and gating (non-VC) startups to those who already have the means.
For EU-based ops I moved to UpCloud, they have top customer service and their offerings are far more complete than Hetzner... Plus, they have more zones.
I hope this doesn't hit the other servers, did they announce anything on why this increase happened? I would hate to need to move elsewhere
I wonder how this will affect their demand considering most people use them because they’re low cost
im moving my stuff as we speak, if those were just vms for services, no biggie but if you run business thats tied to repackaging compute - well, yeah there are better options
Contabo, an even cheaper alternative to Hetz, raised prices this month as well by 30-35% as well. Just noting it here because i couldn’t any info elsewhere.
what's a good hetzner alternative for US?

i'm currently using their hillsboro instances.

i'm not going to pay 3-4x more.