I’ve recently replaced my virtual server with a physical machine.
I’ve used an old Pentium 3 PC as a server. It cost me nothing to build because I already had all the needed parts in my junk pile.
Now, the specs:
CPU: P3 1 GHz cD0
MB: Intel Easton (D815EEA, i815 based)
RAM: 512MB (2×128,1×256)
HDD: 40GB Samsung
CD/DVD: an old LiteOn DVD burner
LAN: 4 NICs (2 in use).
PSU: 230W Hipro
OS: Win2003

The new server does everything my virtual server did (DNS, DHCP, Torrents) plus it also serves as a IPTV to HTTP proxy (like udpxy, I’ve previously used, or, if exactly, tried to use). This also solves my IPTV problem. The new server runs fine. It could use more RAM though, as it only has 512MB and often runs out of memory. Too bad, i815 only supports 512MB (Intel did this because some older P3s were actually better than early P4s).

But I’ve recently (in fact, while writing this post) experienced some strange issues with IPTV connections dropping. I wonder if this is related to the proxy software, server itself, or it’s just a bad IPTV signal (happens sometimes too).
(the error message in IPTV proxy’s logs said something about too many dropped packets).

Will update, when I will have more news.