GRC & Minimus Servers Blog

Server Cost Breakdown By Components

Posted by Christiaan Best on June 1, 2016
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A lot of people are curious to know how server costs breakdown, component by component. The costs can vary hugely depending on the configuration. Discounts also apply when you buy components in larger volumes. We put together an example below for a typical air-cooled server bought in quantities of a few hundred servers. There are a couple of takeaways:
  • Different buyers get different pricing* based on volume, type of organization, application, relationship with sales rep, etc. Big companies can end up spending as much as 40% less than small businesses.
  • CPUs are a dominant cost and are rarely negotiable
  • Memory and storage pricing is relatively constant between vendors after discounts
*GRC does not practice price discrimination.


Server Cost Breakdown

Note: the prices in the below table have been sourced from popular electronics vendor websites, and are not necessarily indicative of Minimus pricing.

Component Quantity Price Estimate Extended Total
CPU: E5-2650v4 (12 CORE) 2 $1,116.00 $2,232.00
Memory: 16GB, DDR4-2400, ECC 8 $95.00 $760.00
Storage: Boot SSD, 120GB 1 $119.00 $119.00
Storage: 480GB, Medium Endurance SSD 2 $391.97 $783.94
Network Card: None 0 $0.00 $0.00
Chassis Costs      
Motherboard: Dual Socket E5-26xx v4, 8 Memory DIMMS, On-board Network: 2x RJ45 Gbe LAN Ports, 1x RJ45 IPMI LAN Port 1 $299.00 $299.00
CPU Heat Sink 2 $14.00 $28.00
Power Supply 1 $95.00 $95.00
Storage Backplane 1 $75.00 $75.00
Drive Caddies 4 $13.00 $52.00
Fans 5 $10.00 $50.00
Internal Cables 1 $20.00 $20.00
Riser Cards 1 $19.30 $19.30
Sheet Metal Case 1 $100.00 $100.00
Assembly Labor and Test 1 $150.00 $150.00
10% Markup 1 $478.32 $478.32
    Total Cost $5,261.56
Server Costs - Pie Chart Breakdown


About GRC and Minimus Servers

Green Revolution Cooling has introduced Minimus Servers in partnership with hardware giants Supermicro and Gigabyte. The Minimus platform offers reliable, purpose-built servers for a fraction of the cost of OEM servers. The core of Minimus’s price-effectiveness is that customers get exactly the configuration they need, but without the added costs of extraneous features and brand-related premiums that are normally tacked onto OEM offerings.

To learn more about Minimus Servers contact us at [email protected] or call +1 512-692-8003.
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Topics: Servers, components, hardware, cost, cost optimization