Memcache will only make sense if it is hosted in the private LAN. I think the point is that he's only offering it to Linode users in the Dallas data center, wh

Memcache will only make sense if it is hosted in the private LAN. I think the point is that he's only offering it to Linode users in the Dallas data center, which is where his service is located. Therefore the latency will be in the sub 1ms range, comparable to a private LAN. There may be other issues with this approach, but latency isn't one of them, at least in this implementation.