These days people are getting more technologically advanced in maintaining their servers by reading articles on hosting business or by getting training on maintaining servers. So it seemed like more people know how to run the servers and they tend to rent a dedicated server to start off the business.
The market for resellers looking to progress before is now swinging to fully managed VPS – the step below a dedicated. This gives resellers the ability to have root and learn DNS, creating reseller accounts, handling ip’s, installing software etc – but knowing that if they break anything we are on hand to fix it or give advice.There is no doubt that the VPS market is making some hard way but it cant come close to replace the traditional reseller shared hosting market just yet. Also the reduced price plans for dedicated servers also encouraging people to maintain their own servers.
Perhaps with time that like anything in our business will change but currently traditional shared accounts are still strong. As people basically beginners in hosting industry threats from losses so mostly their first preference is still reseller hosting.