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Rackspace Customers Grapple With 'Devastating' Email Hosting Price Hike

Rackspace's new pricing for its email hosting services is "devastating," according to a partner that has been using Rackspace as its email provider since 1999. From a report: In recent weeks, Rackspace updated its email hosting pricing. Its standard plan is now $10 per mailbox per month. Businesses can also pay for the Rackspace Email Plus add-on for an extra $2/mailbox/month (for "file storage, mobile sync, Office-compatible apps, and messaging"), and the Archiving add-on for an extra $6/mailbox/month (for unlimited storage). As recently as November 2025, Rackspace charged $3/mailbox/month for its Standard plan, and an extra $1/mailbox/month for the Email Plus add-on, and an additional $3/mailbox/month for the Archival add-on, according to the Internet Archive's Wayback Machine. Rackspace's reseller partners have been especially vocal about the impacts of the new pricing. In a blog post on Thursday, web hosting service provider and Rackspace reseller Laughing Squid said Rackspace is "increasing our email pricing by an astronomical 706 percent, with only a month-and-a half's notice." Laughing Squid founder Scott Beale told Ars Technica that he received the "devastating" news via email on Wednesday. The last time Rackspace increased Laughing Squid's email prices was by 55 percent in 2019, he said.

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ERP Isn't Dead Yet - But Most Execs Are Planning the Wake

Seven out of ten C-suite executives believe traditional enterprise resource planning software has seen its best days, though the category remains firmly entrenched in corporate IT and opinion is sharply divided on what comes next. A survey of 4,295 CFOs, CISOs, CIOs and CEOs worldwide found 36% expect ERP to give way to composable, API-driven best-of-breed systems, while 33% see the future in "agentic ERP" featuring autonomous AI-driven decision-making. The research was commissioned by Rimini Street, a third-party support provider for Oracle and SAP. Despite the pessimism, 97% said their current systems met business requirements. Vendor lock-in remains a sore point: 35% cited limited flexibility and forced upgrades as frustrations. Kingfisher, operator of 2,000 European retail stores including Screwfix and B&Q, recently eschewed an SAP upgrade in favor of using third-party support to shift its existing application to the cloud. Gartner analyst Dixie John cautioned that while third-party support may work in the short or medium term, organizations will eventually need to upgrade.

Read more of this story at Slashdot.

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