EDIT: Awww.. Rackspace's support chat person tells me they don't do cloud hosting in Australia. The cloud links on rackspace.com.au subtly point to the US site and US pricing. And the only way to get their non-cloud pricing for AU is for a sales rep from the AU office to call me back.

They are opening their DC in Sydney in Q1 next year. Cloud servers wont be there at launch but will come "in the months to follow".

I'm looking forward to that too.

Rackspace is currently not in Australia... if it was we would use them in a heartbeat.

We (I work for Rackspace) announced a DC there recently and private cloud OpenStack solutions: http://www.rackspace.com/blog/rackspace-comes-to-australiaan...

Should we consider public cloud?

We use Rackspace Sites for our most of our clients who don't need servers, HOWEVER... I would love to see Public Cloud Servers for Rackspace as we love the US Based Rackspace servers (but you would make our year if you had rackspace servers in Australia).

Yes Yes Yes!! I live in NZ and hosting options here are even more expensive. Something close, properly provisioned and at low latency would be fantastic.