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It is true. It is an easy job to setup a proxy or design a theme for it but the server cost may kill. Proxy take a lot of server resources and most of the hosting provider reject proxy hosting.
i run 5 proxies and the traffic has just died since the summer has started. i have free hosting for my proxies and everything is alright other than the fact no one goes to them.
not sure, done a little bit of advertising, traffic seems to be hanging around. Im new to proxy's, attribute it to beginners luck I guess. pm me the url of your proxy Ben, would love to take a look at it. Dylan
Bandwidth is the least of your worries, cpu, ram, server resources will kill you before bandwidth. If your host doesn't expressly say they support proxies do not be shocked when they cancel you. Proxies violate almost all standard hosting policies, and justly so. They are very hard on servers.
I think this is a god time. When schools start up again is when people want to buy, so if you have a few proxies with some traffic at the beginning of the school year, there may be many people willing to buy.
You gotta watch out for AdSense account - there has been a lot of bannings recently. I personally wouldn't risk my account for a couple bucks of profit from a proxy.
Bah! If you optimize each and every proxy you run, you have nothing to worry about. I run about 3GB/day, per proxy.
Depends on the server you're running on and how many proxies you are running.. Bah, bah, bah. CPU/Memory are more expensive than bandwidth, they are the weak link especially for .cgi based proxies, not as much so for php it however still comes into account.