Grails hosting (or is 100mbit enough?)
HowardRoark: 1. Google App Engine is free to begin with, but you known the cons.
2. Rackspace Cloud Servers (21$ for 512 MB. Pay for BW separately)
3. Slicehost (Same as Rackspace Cloud Server, but 40$ for 512 MB. But you get 100 GB BW I think)I am using 512Mb Slice, with Nginx and Jetty and MySQL on the same slice and its been working pretty well so far.