Some of these are resellers. Big provider sells them a package of 10-1000 VPSs and they set up websites to sell them to you. But you can also find lots of direct deals as well. BuyVM famously has their $15/year deal on a 1GB VPS. You can also often find dedicated servers for like $25/month. I recently bought a $75 lifetime deal on some email hosting for up to 25 domains and I think 250GB storage. Great for some secondary domains and such that I use. There are some real gems out there and you should see their Black Friday threads. Kind of a wild place.

LowEndBox is as old as HN and has been doing VPS deals before the cloud took over. There are also deals offering for VPN services as well.

There's some commercial software to sell/resell VPS, etc that some of these outfits use.

And it's pretty much a commodity business, so things are going to tend to look similar. If you're buying $5/month VPS, you don't want to pay for a lot of fluff. A lot of these are small time local hosters in a single location, but that's usually all you need for a small site.

To be honest there is one instance that i know of where what ends up happening is that colocrossing a major vps provider does end up doing something like this (they used to be hosters/owners???? of lowendtalk/lowendbox)

Now another aspect is that the hosting economy is very mutual, they all start out somewhere and they are usually friendly towards each other. Most Hosting providers start out by either using reseller service directly or by colocating or by reselling dedicated servers which can be themselves of other providers

I don't know but the community is both cut throat and chill at the same time. It's strange to point this phenomenon but I think my point of their friendliness is something which depends and I don't know much about it but I once asked people on lowendtalk if I wanted to create a cloud provider myself and I got some responses and they were friendly so I am basing it off of that

Another aspect is that the market has already raced to the bottom super hard. Hetzner/OVH are really cheap, so to get even cheaper, you kinda have to be in the same pricing range I guess

Fun or not so fun fact but do you know that there have been cases of lowendbox providers to actually go shut down because they take these completely no profitable sense deal and actually lose money sometimes. VeloxMedia is a recent example of that and there is still controversy surrounding it.

There is also the fact that the scam industry in this department works as such:

Rent a really big server with lots of cores for a few months

Sell them unreasonably in LET for the year pricing or more

Then sell the company/be unable to provide/etc.

these I think are called as deadpools in the community.

Also regarding your comment behind same guy, there are sometimes family relations between people

as an example, racknerd I think is owned by the stepson of the owner of colocrossing and they I think using colocrossing themselves.

These have their own little drama stories and I think this is just the tip of iceberg as I just joined recently and probably digging through old archives.