I find many hosting options whether they be cheap cloud options even up to dedicated servers are aimed (or at least that's how I perceive it) at 1-store setups. We currently host 20+ Magento stores with ranging traffic ranges but all with a similar product base, in fact they're 99.9% similar as they're all resellers for us.
This leads me onto the optimal hosting platform for doing this both now and in the future. We currently have a dedicated server and we're looking to switch to another. However, the new hosting provider (although they haven't pitched this idea to us) offer cloud hosting where you can manage all the sites from one custom control panel. Don't get me wrong, the idea of cloud hosting scares me off, it makes me think of squeezed resources and poor performance, however at the same time it made me think of how a dedicated server is a single point of failure, and for those managing multiple stores, what is the best option?
We have approached several people in the past, but again most of them aim at 1-store setups, not multiple installs. The reason I got thinking about this is that I saw on twitter of another web host I follow having problems on their cloud setup affecting sites beginning with K-P. The more I thought about it, I wondered that although it's a pain for these sites, at least you still have some up. With a dedicated, whilst it's resources are private and you can do as you wish with it, if something goes wrong and the box goes down, so does everything on it.
I'm a bit torn as I kinda like the separation that cloud hosting brings, but it scares me to even approach something like that with Magento.
Thoughts are appreciated.