Thanks Mike you are probably right but I have high amounts of concurrent users on my site at any one time... from 500 - 800.

I found fine tuning xcache, and memcache today has really helped out my server the pages are zipping open now.

But I still want to offset the images and memcached to my new server... with nginx.

When you are using proxy_pass do you have to use network (local) ip's or should you use public ip's ?

Thank you

Mick