Bluehost Reality

Big on Hosting. Unlimited Space & Unlimited Bandwidth

Bluehost, Hostmonster, Hostgator, and JustHost (BHHJ) are all owned and operated by the same corporation. Endurance International Group is the entity holding company for those main companies, but they have recently acquired over 100 smaller hosting companies. 65% of EIG’s preferred stock is owned by Goldman Sachs. GS purchased Godaddy for 2.5 billion dollars. The point is most hosting companies have become a cash cow and majority owned by a single monopoly.

The little hosting companies have no chance to compete.

Because BHHJ are monopolized now, you will see a corporate mentality start to take over to their customers. For example, BHHJ used to claim, and still does, that they have no hidden fees, but if you are a Bluehost customer, check your credit card on file. Each year you will see a mysterious small charge from a company called “PostEarth.Net” who if you try to contact won’t know why they charged you. The charge amount will be insignificant, less than a dollar. Most customers will just pay it because it’s not worth their time to research. But millions of customers all paying small amounts add up to millions of extra dollars to Goldman Sachs and EIG.

A DNS lookup of PostEarth.Net will reveal that the Registrant has paid to have their identity concealed. It will also show these Name Servers:
dns1.acewebhosting.com
dns1.robustdns.com
dns2.acewebhosting.com
dns2.robustdns.com

AceWebhosting.com is still owned and operated by Matt Heaton who sold out his complete interest to EIG. The Arecord can be traced back to Softlayer Technologies Inc. which is the datacenter company that houses all of the HostGator’s servers, which was owned and operated by Brent Oxley who sold out his complete interest to EIG shortly after Matt Heaton sold Bluehost/Hostmonster/FastDomain to EIG.

Not that hidden fees matter, but higher monthly payments do. Renewal prices have been increased, and they aren’t even shy about admitting it. You pay the price increases or find another host – we don’t care.

Ben Lewis and Nefi Sanchez have said that their bonuses are now dependent on hiring less skilled people at a lower pay rate. For example, Susan Hymas was recently fired because she was told that she made too much money nowadays. Susan was hired at slightly less than $30k over 3 years ago. She was told by Ben and Nefi that they will rehire her in 90 days, but at a pay rate much lower than her initial entry. Her vacation accrual rate will be reset as well.

Spencer Candland is the top Senior Admin over all of the admins. He says he is upset that the technical support floor is making more money than his Junior Admins, and said that the pay difference is the main reason why his Junior Admins are quiting in droves. He wants the entry level techs to be hired at a much lower pay rate. He despises the technical support floor and has told many individuals that they are lousy people and lousy workers. Many employees have gone to Bluehost’s Human Resource department to complain about Spencer, but HR always turns a deaf ear to the complaints because they feel Spencer is an irreplaceble employee.

Spencer has also said that he is pleased that the technical support has been turned into a sales floor nowadays. In major company meetings, the CEO Dan Handy and EIG CEO Hari have said that their sister company Godaddy has technical support agents who upsell about $100k worth of products and services compared to Bluehost who only average $3k per year. Both CEOs have been driving more upselling. If you call in for technical help, you will be asked about purchasing Privacy or some other service you likely do not need. The entry level technical support agents who do not upsell receive punitive action against them. Many have been fired who refused to upsell because they believed that it was deceptive bait and switch practice.

Many technical support agents like being turned into a sales agent because they are heavily incentivised monetarily to the point where they can make as much money as a Junior Admin. BluehostJuniors make about $40k to $50k range. Some good sales and technical support agents average over $70k.

The CEOs now boast that the Bluehost technical support agents are upselling on par with their Godaddy counterparts.

Junior Admins are given the worst jobs, but they are told if they hang in there, they can be at a mid level range of $70k to $90k. They are also told that Seniors make $100k to $150k at Bluehost. Bluehost management appeals to the Juniors by saying that the longer you stay with Bluehost the better because “Bluehost has a strong brand name in the industry.” It will be better for their career path if they stay with Bluehost. Management also appeals to their Juniors by giving them private stock. Most have received $5k worth of private stock options. They are told that when Bluehost goes with a public stock offering, it could make them rich.

Rig is a customer of Matt Heaton’s Ace datacenters. Recently the switch burned out that powered the entire Ace Heaton company. The Bluehost Junior Admins had to do an emergency fix while the Seniors and Mid Levels laughed and went to lunch. One Junior Admin said, “I’m tired of being turned into a purple monkey, and getting chewed out day in and day out by Seniors and Mids who are too proud to help pitch in.”

One Junior Admin was upset because Dan Handy interviewed him as a possible new hire position, and asked why he didn’t stay with any of his previous jobs very long. Dan then asked him, “Were you doing illegal drugs that kept you from holding down a job?”

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