I was disappointed that this article didn't have anything about traffic but speculation. I expected it because of the title. There's no point to me in how many static sites it can host if traffic isn't taken into account. As jonknee said, it could host 10,000 low-traffic sites.
I also looked up the VPS mentioned in the article, and noted that it's not really that cheap. There's only two price levels below $20, and $20/mo for 256MB isn't great. I got a tax-day special on Zerigo that amounts to about $20/mo for 640MB, and RackSpace Cloud has 512MB for $21.90/mo. The author of the article also mentioned getting a billing issue resolved, and I expect not to have any billing issues in the first place for web hosting. I'm more willing to give other types of services some slack but I think hosting companies ought to have this one figured out.