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That was a fast answer of your hoster,.always nice to see.
The point is that it is not XOOPS related, but traffic (hits) related. As you have told me there are monthly 8 million hits. That's alot,.,.really alot. I only know a few site's that pull that much traffic.
Your question about the server,.that's difficult to answer and depends on alot of small things. Try to talk with your hoster what is possible and what not,.I know they have the knowledge about this.
Good luck.