The Doc Searls Weblog points to an article by David Sifry, listing their cascading troubles that started with a fire at their colocation facility. I went through a similar learning experience while I was at BugCentral.com and we had our servers hosted by USDataCenters. Short answer: you should have a local UPS on your machine with 'soft shutdown' software in place so that your box doesn't get corrupted when the rest of the facility goes down.
A special issue of CoDE magazine, called CoDE Focus, has been released for VFP 9. I know in the past, Microsoft underwrote these issues, though I don't know if it is true for this one. Great articles by Doug Hennig, Cathy Pountney, Rod Paddock, David T. Anderson, and more!