vB hosting : what to choose ?

Hello,
i need to host quite big vB forum , with about 200 users at a time , its now sitting on rackshack server , p4 1.7 with 1.5gb memory , and its far from good , i live in israel , so as my surfers , ping from me to rackshack is about 300ms .
i have 2 options to choose from maybe you can help me choose
1. get anoter server from RS , HP 2.0 Ghz with probaly 1gb memory , one will be web and the other mysql, server are connected in 100mbps as far as i know .
2. get server in israel , ping to server 80ms , p3 Dual 700mhz ( maybe 1000mhz ) 2gb ram ( both web and mysql on the same server ).

the price of the two options is the almost the same ..

Thank You
Ben

 

 

 

 

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