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they upgraded to ssd's.
their network has always been fast (from Linode Dallas):
2012-07-27 20:14:26 (15.6 MB/s) - `/dev/null' saved [104857600/104857600]
disk is now super fast:
1073741824 bytes (1.1 GB) copied, 5.3991 s, 199 MB/s
+1. too bad it's openvz