> Why is it that they think a single customer would be happy with 33% of a fee
Because most other providers would have refunded the customer 16 / (24*28) = 1 / 42 = 2.4% of the bill.
Microsoft paid out 10x that amount.
The type of an SLA that you are talking about (that pays out to cover all loss of business) does not exist anywhere, and if it did, it would cost you more than $10-$100/month hosting account that you'd normally buy.
And Google offers a 99.95% SLA for App Engine which refunds 10%, 25% or 50% of the total monthly bill if uptime falls below 99.95%, 99.00% or 95.00% respectively.
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> Why is it that they think a single customer would be happy with 33% of a fee
Because most other providers would have refunded the customer 16 / (24*28) = 1 / 42 = 2.4% of the bill.
Microsoft paid out 10x that amount.
The type of an SLA that you are talking about (that pays out to cover all loss of business) does not exist anywhere, and if it did, it would cost you more than $10-$100/month hosting account that you'd normally buy.
Not exactly. For big outages like this, both Google and Amazon provide bigger refunds.
When Amazon's elastic block store was down, they credited back 10 days of service.
http://aws.amazon.com/message/65648/
And Google offers a 99.95% SLA for App Engine which refunds 10%, 25% or 50% of the total monthly bill if uptime falls below 99.95%, 99.00% or 95.00% respectively.
http://code.google.com/appengine/sla.html