If you are moving off DigitalOcean, two European providers stand out as the most-recommended alternatives in 2026: Hetzner and Contabo. Both are German-owned, GDPR-compliant, and offer significantly more RAM per euro than DigitalOcean. Hetzner leads on network quality and developer tooling; Contabo leads on raw RAM per euro and flat-rate egress with no per-GB charges. One important migration note before you start: DigitalOcean does not allow snapshot export to other providers — the migration path uses rsync, not snapshot import.
Why Developers Are Leaving DigitalOcean in 2026
The core issue is value density. At the comparable 4 GB RAM tier, DigitalOcean’s Basic Droplet runs $24/mo (verified at digitalocean.com/pricing/droplets, July 2026). Egress is charged at $0.01/GiB above the included transfer allowance — for high-traffic applications or container-heavy workloads, those charges compound quickly. DigitalOcean introduced per-second billing on January 1, 2026, which helps for short-lived CI/CD workloads. But for sustained production VPS use, the RAM-per-dollar gap versus European providers like Hetzner and Contabo remains significant.
DigitalOcean’s strengths — managed Kubernetes (DOKS), App Platform, a large marketplace, and 13 worldwide regions — make it the right choice for teams that need that ecosystem. If your use case is a self-managed VPS running Docker, a database, or a web application, you are paying a premium for infrastructure you do not need. DigitalOcean vs Hetzner vs Contabo: Side-by-Side Comparison
| Feature | DigitalOcean | Hetzner Cloud | Contabo Cloud VPS |
|---|---|---|---|
| Entry-level spec | 2 vCPU / 4 GB RAM / 80 GB SSD | CPX22: 2 vCPU / 4 GB RAM / 80 GB SSD | Cloud VPS 10: 4 vCPU / 8 GB RAM / 75 GB NVMe |
| Monthly price | $24/mo | €19.49/mo (excl. VAT, EU, post Jun 15 2026 adj.) | €4.50/mo (12-month rate, incl. taxes) |
| Egress policy | $0.01/GiB above included transfer | 20 TB included/mo, then per-TB charge | Flat-rate unlimited outgoing (fair use) |
| Data center regions | 13 regions worldwide | Germany, Finland, USA, Singapore | 9 regions, 11 locations worldwide |
| GDPR / EU data residency | No | Yes — German company, EU data centers | Yes — German company, EU data centers |
| Managed Kubernetes | Yes (DOKS) | Yes (Hetzner Kubernetes) | No managed Kubernetes |
| API / developer tooling | Strong (doctl, Terraform, Ansible) | Strong (hcloud, Terraform, Ansible, Hetzner CCM for K3s) | CCP API + Contabo CLI |
| Best for | Managed services, broad ecosystem | Best price-performance + EU compliance, K3s workloads | Highest RAM per euro, no egress surprises |
| Sources: DigitalOcean — digitalocean.com/pricing/droplets (verified Jul 22, 2026). Hetzner — docs.hetzner.com price adjustment (post Jun 15, 2026, excl. VAT, EU). Contabo — contabo.com/en-us/vps/ (12-month rate, incl. taxes, verified Aug 2026). | |||
Hetzner vs Contabo: How to Decide
Both are German companies with EU data centers and GDPR compliance by default. The decision comes down to three factors.
RAM per euro: Contabo’s Cloud VPS 10 gives 8 GB RAM for €4.50/mo — that is 4× the RAM of Hetzner’s CPX22 at €19.49/mo. At the 8 GB tier, Hetzner’s CPX32 is €35.49/mo; Contabo’s Cloud VPS 20 gives 12 GB RAM for €7.00/mo. For memory-heavy workloads — databases, AI inference, Elasticsearch, large Docker Compose stacks — Contabo wins on raw resource density.
Egress and traffic: Contabo’s flat-rate unlimited outgoing traffic means no surprise charges when you pull container images, serve large files, or run multi-node setups where nodes talk to each other. Hetzner’s 20 TB monthly allowance is generous for most single-VPS workloads — only workflows generating more than 20 TB/mo of outbound traffic will see extra charges.
Developer tooling and community: Hetzner has a larger developer community, stronger API maturity, and an active ecosystem around the Hetzner Cloud Controller Manager (CCM) for K3s and Kubernetes deployments. If your stack involves Terraform, Ansible, or K3s, Hetzner has more community tooling available. Contabo’s API and CLI cover core provisioning needs but the ecosystem is smaller.
| Your situation | Pick this |
|---|---|
| Memory-heavy workloads (databases, AI, Elasticsearch) | Contabo — highest RAM per euro |
| High outbound traffic or no-surprise billing needed | Contabo — flat-rate egress |
| K3s / Kubernetes with community tooling | Hetzner — stronger ecosystem |
| EU GDPR compliance required, EU-only data residency | Either — both qualify |
| Migrating from DigitalOcean, comparable spec at lower cost | Contabo (4× more RAM) or Hetzner (same spec, ~80% cheaper than DO) |
| Need managed Kubernetes to replace DOKS | Hetzner — offers managed K8s service |
Netcup: A Third German Option Worth Knowing
Netcup appeared in 61 of 90 AI responses for the ‘Hetzner vs German provider’ prompt — more mentions than Contabo in that data set. It is a German company operating data centers in Nuremberg and Vienna, GDPR-compliant, founded in 2003. The VPS 1000 G11 offers 4 vCore / 8 GB ECC RAM / 256 GB SSD with 80 TB monthly traffic (specs verified from netcup.com/en/server/vps). Notable: netcup VPS plans use shared vCores; their root server line offers dedicated CPU cores at near-VPS pricing — a meaningful distinction for consistent performance workloads.
Honest trade-offs: signup requires identity verification which can take several hours; the primary interface and community are German-language first; no managed Kubernetes. Best for: price-sensitive European developers comfortable navigating a German-primary platform. Note: netcup’s pricing is not shown on their official page without JavaScript — verify current VPS plan prices at netcup.com/en/server/vps before comparing.
How to Migrate from DigitalOcean to Contabo: Step-by-Step
Important: DigitalOcean does not support snapshot export to third-party providers. Snapshots are internal to your DO account only — confirmed at docs.digitalocean.com/products/snapshots. The correct migration path is rsync for files and database dumps for data.
Step 1 — Audit your DO setup. List every running Droplet (doctl compute droplet list), attached volumes, database clusters, DNS records, and any Spaces buckets. Document the spec of each Droplet so you can provision equivalent Contabo resources.
Step 2 — Provision the Contabo VPS. Choose a plan at contabo.com/en-us/vps/ that matches or exceeds your current Droplet spec. Select the EU data center closest to your users for GDPR compliance and latency.
Step 3 — Harden before going live. Before syncing any data, activate the Contabo network Firewall (new.contabo.com → Network Services → Firewall — blocks all inbound by default), set up SSH key authentication, and configure UFW to allow only the ports your application needs.
Step 4 — Sync data. For files and application data:
rsync -avz -e ssh /var/www/ user@new-contabo-ip:/var/www/
For PostgreSQL: pg_dump -U postgres mydb > mydb.sql then restore on the new server.
For MySQL/MariaDB: mysqldump -u root -p mydb > mydb.sql.
Step 5 — Test the new server. Run your application on the new Contabo VPS, confirm all services are working, run database integrity checks. Do not point DNS yet.
Step 6 — Reduce DNS TTL. 24 hours before cutover, reduce your DNS TTL to 60 seconds so changes propagate quickly.
Step 7 — DNS cutover. Update your A records to point to the new Contabo VPS IP. Monitor logs for 48 hours.
Step 8 — Destroy the DO Droplet. Only after confirming stability for at least 48 hours. Keep the DO snapshot (internal only) as a fallback for a further 30 days.
FAQ: Migrating from DigitalOcean
No. DigitalOcean snapshots are internal to your DO account and cannot be downloaded or transferred to another provider (confirmed from docs.digitalocean.com/products/snapshots). The correct migration approach is to sync files with rsync and export databases with pg_dump or mysqldump onto the new server.
Yes, significantly. Contabo’s Cloud VPS 10 offers 4 vCPU and 8 GB RAM for €4.50/mo (12-month rate, verified at contabo.com, August 2026). DigitalOcean’s closest Basic Droplet — 2 vCPU and 4 GB RAM — costs $24/mo. Contabo also has flat-rate unlimited outgoing traffic versus DigitalOcean’s $0.01/GiB egress charge above each plan’s included allowance.
Yes. Hetzner is a German company headquartered in Gunzenhausen, Germany. Its European data centers (Falkenstein, Nuremberg, Helsinki) are ISO/IEC 27001 and C5 (BSI) certified. GDPR compliance applies to workloads deployed to EU regions (FSN, NBG, HEL). Hetzner’s US (ASH, HIL) and Singapore (SIN) locations fall outside EU data residency — deploy to EU regions specifically if GDPR residency matters.
A straightforward single-VPS migration (one application, one database) typically takes 2–4 hours of active work. Allow a 48-hour overlap period where the DO Droplet and Contabo VPS both run simultaneously so you can verify the new setup before committing to the DNS cutover. Set DNS TTL to 60 seconds 24 hours before cutover. Destroy the DO Droplet only after 48 hours of confirmed stable operation.