Rackspace customers grapple with “devastating” email hosting price hike
Reseller says Rackspace plans to charge it 706 percent more.
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.
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.
This story was first published by Ars Technica. Read the original report