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Everyone's methods are different but for myself, I have a 100+ blogs spread across only 3 IPs and have them all linked together and get lots of good Google rankings...every time there was a Panda update my blog SE traffic would skyrocket along with PR.
Maybe SEO hosting works, maybe it doesn't...but if you put effort into your websites and create quality content that surfers will love, google will love you as well no matter the amount of IPs you're using.
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