Yes the computer is fine. I don't know about raid 5 though
No, becoming would just be splitting the computer into more than one computer. unless your running more than one server i don't suggest it. Even if you are running more than one server i suggest you use a computer for each server as gaming servers have a lot of strain on them.
Virtualization causes overhead so theres no point in doing it if the machines is only hosting game servers. OpenVZ/Virtuozzo has less overhead than Xen/VMWare but it still slows performance over native so its not needed.
Raid 5 is a bottleneck there it should be a Raid 10 array.
Actually I think RAID5 would be fine for game servers. RAID5 has great read performance, but lacks in write performance but I don't see there being much need for high performance writes in game servers, only database hosting and such.
I've been planning to sell game servers for a while. But not to sure If it's worth the investment. It would be after all a hobby (to gain experience), rather than a money making venture!
Here is the server I plan to use:
Dual QC 2.0Ghz
16GB FB-DIMM RAM
3x 500GB RAID5
4TB Network Transfer/month
The network is one of the best in the UK. (from what I've read)
My questions are:
Firstly, would this machine be suitable for running gameservers on?
Secondly would Virtualizing this machine be a advantage or disadvantage to the performance?
Thirdly, what advice would your offer for a beginner in this market?
are you renting or thinking of buying your own server? if you are buying your own. look into the new opeteron servers eg: 1 12 core 2.0ghz with 12mb cache can take you quite far. and 1 processor is always cheaper than 2. if your thinking of visualizing you can divide in half with 2 hex core or something along those lines.
As per the configuration i was ok for the one machine server . but insted RAID5 go for the RAID 10, the advance version.
please dont go for the virtualization as it causes the overload on the single server