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I can't comment on any experience with hosting services, either positive or negative, as I've never used one. But my inclination would be to not use one, at least at the start. If and when your server population grows beyond the capabilities of you to host, then it might be worth paying to have it hosted elsewhere.
RL example: at the request of my users, I'm setting up a PvP sever to add to the cluster. For now, it's in maintenance mode (only GMs can log into it) until it's ready for public usage.
For the setup phase, it's running on a 1.3GHz Celeron-M laptop with 2GiB of RAM. Yes, a very old and- more importantly- cheap (read: free) laptop.
Server loading and shutdown times are longer, but there's no in-game lag or delays. CPU utilization hasn't risen above 20%, and physical memory usage hasn't broken 70% yet.
So with a default 2048x2048 map and a limited number of players, just about anything will work as a server. Of course hardware requirements would rise with many players or larger maps. But my point is that you can start small (and cheap) and grow as server population grows.
It's pretty cheap to run my lil server with them. If you need more space, etc it get more expensive. However, it's nice to have it hosted through them since I am not in a good location to host myself. Nor do I own the hardware to host it.
Maybe check them out. I've only had the best support. I've sent in many tickets just asking general questions and testing their time response and I've gotten a question answered all within an hour. Their answers are always helpful too.
Blue Fang Solutions I've not heard anything negative from however then are slightly pricer.
Citadel Servers I just can't recommend anymore service is usually stable but support should you actually need it is crap as resounded from many folks that have been with them.
There's a 4th company that supports Wurm but can't remember their name.
Otherwise you can rent a Windows VPS (or if you have knowledge Linux works too) from any reputable company for a decent price and run with it. Dedicated is also an option but of course you'll pay more.