I'm in the process of getting off a VServer setup.  See my posts on the
supermicro.

I have two accounts at rosehosting with mixed results.  The first server
works fine.  No complaints. I felt as those I was getting a good service. 
The second server has terrible Disk I/O performance.  I use cyrus IMAP
because of its server side filtering, and performance has been terrible. 
I finally traced it down to poor I/O performance in the vserver.

I think it is worth it for me to have my own dedicated box since I use my
server all the time.  I have subversion repositories and often run emacs
on the console for remote development.

Virtual hosts might be good for toying around, but if you have any serious
requirements I just don't think they are worth it considering the cost of
low end servers and hosting these days.


-- 
Christopher Baus
http://www.baus.net/
Tahoe, Wine, and Linux.



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