We need more instances, but we need to be a lot smarter about the structure. I think we will only be able to grow larger if we make a more intentional separation between topic-based instances and “people-home” instances, so that we can have a better spread of the load.
I don’t know if it would help with load-balancing, but I feel hash tags would be better than communities.
This was the first hit on proxmox vps.
https://hostkey.com/vps/proxmox/
I have no idea if they are good or not, but this kind of service might be what you’re looking for?