Currently I'm on a VPS. We had a dozen dedicated servers over the years and although we still use dedicated for backup we chose to stay on a managed VPS just in case we suffer an attack while myself or my partner is away.
Since this thread is about hosting, what we offer (to our hostees) is cheap accounts will all the bells and whistles. Our lowest is $2.50/month for 150 mb space and unlimited databases/features, as well as free website/vbulletin/cms installation/help.
http://hosting.guiltyparties.com/
My own database is around 400 mb at the moment.