The biggest issue I have had with Hetzner was with a dedicated server. I was constantly (3 times or more a week) getting abuse messages about my MAC address not being correct:

"""" We have detected that your server is using different MAC addresses from those allowed by your Robot account.

Please take all necessary measures to avoid this in the future and to solve the issue. We also request that you send a short response to us. This response should contain information about how this could have happened and what you intend to do about it. In the event that the following steps are not completed successfully, your server can be locked at any time after DATEHERE.

How to proceed: - Solve the issue - Please note, in case you have fixed the problem, please wait at least 10 minutes before rechecking: https://abuse.hetzner.com/retries/?token=TOKENHERE - After successfully testing that the issue is resolved, send us a statement by using the following link: https://abuse.hetzner.com/statements/?token=TOKENHERE

Please visit our FAQ here, if you are unsure how to proceed: https://docs.hetzner.com/robot/dedicated-server/faq/error-fa... """

I was just using standard Docker to host a web app. No proxmox or KVM of any sort. I would just wait the 10 minutes, click their link https://abuse.hetzner.com/retries/?token=TOKENHERE, which would retry and would come back fine and my response would be "I changed nothing and the retry came back solved. I've done tcpdumps over a weeks time to see if any MAC addresses leak from the OS and none have while a similar ticket like this gets opened every couple days." The ticket would close shortly after I submitted.

I inquired to them at least twice about this and they just kept telling me I was leaking a MAC address that I wasn't allowed to even when I had proof of tcpdumps over a week time period. I found someone else who had this issue with them (most issues around this that I found were people hosting Proxmox) and they had Hetzner replace the NIC and it fixed the issue. Well, Hetzner wouldn't replace my NIC because "it was working" even though I referenced these abuse tickets. I ended up getting another dedicated server, migrated my app over there, and I haven't had issues since.

Their support is seriously not very good. Since that experience, I have had backups elsewhere and test restoring those backups regularly. The price to performance I get from them is unbeatable and like I said, I haven't had issues since getting a new machine. But, I'm definitely cautious and don't exactly trust things to not go sideways even though it's been 2 years since that experience.