Rackspace (NYSE:RAX) now -15.8% AH following its Q1 revenue miss. Server count rose 4% Q/Q to 95.1K, but average revenue/server fell $2 to $1,308 after steadily rising in 2012. Also, the net upgrade rate fell to 0.9% from Q4's 1.2% and Q3's 1.6%, and installed base growth fell to just 0.1% from Q4's 0.5% and Q3's 0.8%. Dedicated cloud (hosting) revenue +15% Y/Y (+18% in Q4) to $271.3M and still 75% of total. Public cloud (OpenStack) +40% (+49% in Q4) to $90.9M - investors might be looking for faster growth, given Amazon and Microsoft's growth rates. Capex was $125.4M (35% of revenue), +43% Q/Q and +52% Y/Y. (PR)