Running a webhost server normally requires a data center, which is a facility in which particular equipment and data are stored. A data center is a physical place in which several types of computer systems and other equipment are stored. The size of a data center may vary; it can be just one room or an entire building.
Some people might consider the above to be harsh, but really the reason it is true is because when you get to the $10 barrier, you are actually into both some Windows and some Linux hosting packages that have benefits far in excess of what you could ever hope to get from a discount plan. Therefore, it makes no sense to pay that same amount of money for a discount plan when you could simply take the Windows or Linux plans and get all of the added support that you would not get under a basic plan. Support under Windows plans includes things like support for ASP and MSSQL; things that would perhaps not be there under most discount plans. Windows and Linux plans can both be found for in the $10 to $15 range per month for their basic incarnations and then if you want more space, more bandwidth or anything else, it just increases from there.