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mini cloud, opinions....

OK, I'm deploying a couple quad core CPU systems to a colo. I will make
available virtual machines. I can get a bunch of IP addresses so that each
virtual machine can get its own ip address.

As a group, which do you see as the "right" way to do it:

(1) tap/tun device where each virtual machine has its own IP address.
(2) Virtual machines are assigned "local" 192 address, and something like
LVS is used to route public IP addresses to the private ones?

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