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I'm working on a file upload component for a client's website. The files aren't stored on the server, but are uploaded directly to Amazon S3.

The maximum file size that they will upload will be around 200MB. I'm wondering if this will be a concern to our server?

The site will be hosted on a dedicated server (running LAMP stack), but it has around ~25 other sites hosted on there too. When large files are being uploaded (which could a matter of hours due to bad upload speed), could other sites on the server potentially be affected?

Would it be a better idea to get the client to upload directly to Amazon S3 and then simply provide a link to the file, instead of handling the upload through the website?

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Well, practically speaking, your server has a finite amount of resources available to it, and these uploads will compete for resources with the rest of the items in your server's workload. Whether or not this causes unacceptable performance degradation is going to be left to you to find out. Do some load testing.

With regards to having users upload directly, that is a great idea if it's possible for you to implement.

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