This is kind of disappointing for fans of Slicehost :( Any reason that we shouldn't switch?
I'm not switching because they meet my needs, my customers are happy, and switching would take me lots of time that I can more profitably use promoting my software. I don't get paid for doing work, I get paid for solving problems. Slicehost is not a problem for me.
Your mileage may vary.
It's not about 'being a problem', it's about optimizing when there's something better/cheaper available.
I do, however, also have a Linode VPS and will probably go with additional Linode VPS' in the future if the service continues to be stable.
In my humble opinion, Slicehost offered a great deal two years ago but they should adjust their plans in the future or customers will move to competitors.