I've had a few similar, strange errors with web2py on Fluxflex. One project
was stuck in "initializing" for four days. I contacted their support but
never heard back. I ended up just having to re-deploy web2py from scratch. I
also had runaway usage (and hit my quota in 10 minutes) the first time I
deployed web2py, but haven't had that problem again since. (They fixed that
one within about a day.) So it seems like there are issues at Fluxflex with
server reliability (and with insufficient support staff). I'm still trying
to figure out whether the service is stable enough to keep using.