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A client of mine came to me with a unique question that I wasn't sure of the answer to. He wanted to know that if he has a number of different websites (let's say 500 sites with their own domain name) on the same hosting package with the same IP, will that effect the SEO of the websites? I figured it wouldn't due to the fact they have their own domain but I wasn't sure.

Another question, what if all 500 were on the same CMS and were all related in some way (category wise, let's say he's in the baking industry). Their content will be different (about 60% different) across the board but have the same template (only right now, eventually there will be about ten possibly more). Will that effect their SEO in any way (besides running the risk of duplicate content)?

Thank you very much! I will try to follow up if anyone else has a question for me.

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It won't affect the SEO of a website. Lots of sites are on the same IP address. In fact some IP addresses are the homes for thousands of websites (a big web hosts). Sharing an IP address may be used to help find "bad neighborhoods" which are sites designed to promote themselves or one "main" site by increasing link popularity. But that doesn't affect the ranking of webpages and is only used to find spam.

Additionally, using the CMS is also not an issue as lots of sites use the same CMS. For example WordPress based sites probably number in the tens or even hundreds of thousands. The same goes for drupal or joomla. Duplicate content only comes into play with the content itself. What they should do with the 40% of their content that is duplicate content is use canonical URLs to point to the page they want to be listed in the SERPs.

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