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    HostGator Sold to EIG For $225 million USD

    By in Webhosting

    Hostgator sold to EIGHere is a big news for all Hostgator customers, (Even ShoutMeLoud is hosted on Hostgator). Hostgator is sold for $225 million USD to Endurance International Group.

    According to reports, Mr. Hari Ravichandran, CEO of EIG, offerd $225 million to Hostgator CEO, Brent Oxley and he accepted. This news came out as a shock for Hostgator users and people are already discussing about the same in Webhosting forum.

    Some background about Endurance International Group:

    EIG is a business group, which has acquired many popular Web-hosting company and domain registrar. If you are not aware of the fact, Fatcow, iPage, Bluehost, VPSLInk and many more companies are part of this group.  Since, Hostgator is one of the top Webhosting company, with this acquisition EIG will get get hold in Webhosting market.

    You can learn more about EIG and list of Web hosting companies owned by them here. In the complete list of hosting companies, only Bluehost is considered as one of the top hosting, else all others are budding hosting companies. With Host gator in the list of companies they own, they already created a lot of buzz in the hosting market. You can see what others are feeling about this on Webhosting forum discussion post.

    What’s in for Hostgator customers?

    There is good and bad news as with great financial background of EIG, We can expect better service & support from Hostgator. As it is, they are known for their excellent customer support. Bad news is, we are not sure about the future of our sites on Hostgator. As, this acquisition of Hostgator means, moving our data center to different location, and if you are into Web hosting, you might know that there are chances of losing data (Websites) at the time of  data center migration.

    Now, as confirmed in an Email, Brent Oxley mentioned that this whole process will take 3-4 weeks and once Hostgator is completely sold to EIG, they will sign the lease agreement for Houston and Texas data center. And, if everything goes planned, they will be expanding the infrastructure. The only sad part is, CEO Brent will not be a part of the company once Hostgator is sold to EIG.

    Well, I’m still uncertain if this is a good or bad news, as the only scary part is is data center migration, we need to be ready with all the necessary backup. I suggest you to set up daily backup of your site, as if Hostgator data center moves after the complete deal agreement is done, it may be disaster for many. Better safe than sorry. I’m using managewp to take backup on my AmazonS3 account. Also, hostgator offers cPanel backup, you can use that too.

    Also, if you are renewing your hosting package or buying a new package from Hostgator, I suggest to stick to monthly bill payment until everything is done or opt for Bluehost (Discount coupon) which is one of the best alternative to hostgator for now.  I will be moving my site to a VPS server in coming week, as I have read many horror stories related to data center migration.  I will keep updating you about the latest news on Hostgator and EIG, you can subscribe to my Email newsletter for quick updates.

    Do let us know, What steps are you going to take? Will you be moving your site to any other host or will you be simply taking a daily backup of your site to avoid any disaster situation.

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    Harsh has written 1206 articles.

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    { 15 comments… read them below or add one }

    Ehsan

    It’s really shocking news. Will Hostgator be as good and reliable hosting service as it was before now?

    Reply

    Harsh Agrawal

    @Ehsan
    We will be sure about it once the dust will settle down. For now, just configure daily backup using any plugin or service.

    Reply

    Mayur

    Hey harsh,
    Really its sad news for hostgator lovers, because they are not sure about their sites future on hostgator.
    I hope that, EIG group will maintain it easily :)
    Still one question twisting my mind !!! Why Brent Oxley sold it ??

    Reply

    Ravi Kochhar

    Whether EIG would be able to give the same customer support and services that hostagator is known for, only time would tell. Meanwhile we hope that EIG manages to give the same unmatched services and support and even better it in times to come.

    Anyways, good and very useful update for all the hostgator users, Harsh. Do update us on the latest updates as to whether hostgator is still the best option for shared hosting post acquisition.

    Reply

    Chandan Sanwal

    Totally shocking & Sad news for hostgator customers.. But don’t worry EIG will do something better… As Harsh Said, i also recommend you to “do your backup on daily basis”..

    Reply

    Sreejesh

    I’m also considering to move to a VPS. Which VPS do you suggest?

    Reply

    Harsh Agrawal

    Sreejesh
    I would recommend Knownhost, that’s where SML is hosted now:
    http://www.shoutmeloud.com/knownhost-review-fully-managed-vps-for-wordpress.html

    Reply

    Gautham Nekkanti

    Actually from my personal experience on Netfirms, EIG has worsened the quality and price tag of their services.

    Reply

    Satish

    I never expected to hear this from the worlds number 1 hosting company. Now what is the future of their users and new customers ? Gone !

    Reply

    Pulkit Juneja

    Yeah, Its Quite Unexpected, That Hostgator is now sold out. Well we can’t even guess what will be its future :/

    Reply

    Harsh Agrawal

    Lets see Pulkit how it goes. As EIG managed to maintain the quality service of Bluehost, I hope they do the same with Hostgator.

    Reply

    cocco

    What are you talking about??? Bluehost is dreadful under EIG. Any coincidence that they no longer have an uptime guarantee? Their servers are down for *hours* a month and their support is incompetent.

    Reply

    Rakesh Patel

    My website is also hosted on Hostgator. I am also thinking to migrate to bluehost.

    Reply

    Tauseef Alam

    It’s common in US & UK, big companies do mergers & Acquisitions very frequently. i think its a good move, recently we’d seen a similar kind of move when Symantec acquired Verisign.
    Hope Hostgator services will remain the same .

    Reply

    Vivek R

    Hi Harsh,Can we expect acceptance of Indian Debt Cards for paying these EIG group hosting providers ?

    Reply

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