I’ve tried two times (once 1 year ago and one more time one month ago) without success to register an account on Hetzner. They always end up either directly rejecting me or asking for my ID/passport. There’s simply no chance I’m giving a copy of my passport (which is not even a guarantee of admission) to such a private company. I guess I’ll stay with digital ocean.
I would say the same for almost any company, but I've been with Hetzner for like 7 years and the prices, support and up-time is unbeatable. They're this German company, and if anyone knows Germans there are very keen on security. I trust my ID there more than I do at any bank that have it.
You could try giving it to them and blurring the passport number. They're not doing anything extreme with it and I doubt they're even checking it against any database - they just want to stop fraud and disincentivize bad actors from using their network. I'm sure if you asked they would be fine with a blurred passport number and a recorded Skype call to verify you're the same person as in your passport photo.
It’s a) a mixed calculation. Not everyone is using the 1TB and the Transfer. b) Storage at scale is cheap. c) Transfer is even cheaper at scale. d) It’s “only” on one Server with a raid system e.g. no cloud with multiple copy’s.
Transfer basically costs $0 for them because they pay for capacity ("size of the pipe"), e.g. $0.50/mbps to their IP transit vendors. When cloud companies charge you for transfer ("stuff through the pipe") e.g. $0.1/gb, they're basically extracting "free money" from you. They want to charge you some minimal amount for transfer to disincentivize everyone filling the pipe, but they don't actually need to do that to cover their costs. Hetzner is taking an alternative approach of capping transfer instead of pricing it per GB.