Linux Collocation Services
So I'm looking at these two companies, both offer virtual GNU/Linux servers. (actually JohnCompanies offers BSD as well) and it seems like a really great idea. Root access on a virtual GNU/Linux install.
Setup whatever application you want (except progs. that violate the TOS, IRC bots, etc)
JohnCompanies - Collocation Services
vs.
Virtual Servers - RoseHosting.com Virtual Dedicated Servers
GNU/Linux Collocation Services
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A little late commenting on this maybe :-) but we do virtual Linux servers (root access, your own kernel, serial console access, SMS watchdog and so on) from 15ukp ($26) per month. Fast network in Telehouse Docklands (London), and our network peers with LoNAP and LINX too.
We also give 10% off those rate for free software authors and have a referral scheme in operation that gives up to 45ukp ($70) per new signup to the Debian project.
Just another option, though I'm obviously a little biased in these matters :-)