"1) so youre saying there is never a need to split the DB because of its size [lets forget performance now]? "
Only if you are running into the limit of what your database/OS can handle.
There used to be a 2GB filesize limit for linux, but that has changed a lot over the past years. And even if there was still a 2GB limit, InnoDB lets you create tablespaces which mysql will use to store it's data in. All those spaces can be <2GN, but combined under mysql you can have for example 100*2GB = 200GB.
"how do "they" handle really large databases which wont fit on "modern" hardware? "
No offence, but regarding your recent remark on 10GB being the largest disk, I think you may want to take a short tour of modern hardware, just to get up to speed with sizes and prices of the new 'good stuff'.
Modern hardware includes daisy-chainable fiber-optic SCSI arrays that can range well into the hunderds of terabytes, yet the OS just sees one disk.
If you have cash for an industial size database, you'll also have cash for an industrial size server. š
" if you cant afford something that looks-like-a-fridge monster with 100xxxxx terabytes disks, what should you do? "
That's a bit of a nasty question because if you need more space you'll have to get it. If not one-way, then another way. The simplest and best way is to just add disks, and with modern prices and equipment this is nolonger a real problem.
Ofcourse, as I stated before, if you are consuming a lot of space, it is always worth it to get a second opinion about your database model. There's always some little thing you forgot about that is eating away at your space.
"somehow i thought they might split the whole thing"
They might, but only on a functionality level.
For exampl, if you are loggin stats for ten big cusomers that put in sh*tloads of records, it may be worth it to split that up into ten tables, so the number of records per table stays as low as it can be. But that only works if you never want to query all the data at the same time, which I believe you do want to do in your case.