I host a lot of websites on DreamHost and 2 of them are built on
Cake... plus a lot of private projects...
I'm very happy with them and never had even one problem with cake and
dreamhost.

As suggested, if you have problems with a server you can ask to be
moved to a different one.

Also keep an eye on their status page: in this few days they had
problems with one or more servers: http://www.dreamhoststatus.com/


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